In order to increase the eco-efficiency and overall availability of naturally renewable resource, the novel bioconversion of steam-exploded wheat straw to bio-organic fertilizer containing N2-fixer, P and K solubilizers was investigated. The conversion was performed in solid-state fermentation (SSF) with periodic air-forced pressure oscillation (PAPO). The results showed that SSF-PAPO was competitive with the conventional solid-state fermentation (cSSF) in biomass accumulation and wheat straw digestion. With solid–liquid ratio 1:3, microbial biomass production at 72 h was high up to 2 × 1011 cfu g−1, nearly twice as that in cSSF. The degradation rate of cellulose, hemicellulose and lignin after fermentation in SSF-PAPO reached 48.57 ± 10.66, 84.77 ± 2.75 and 2.15 ± 10.11, respectively, which was greater than that of 29.30 ± 10.28%, 33.47 ± 4.85% and 0.53 ± 9.07% in cSSF, correspondingly. The SSF-PAPO system displayed unique advantage, by a novel gas phase control strategy on gas concentration and heat gradient, on the bioconversion of wheat straw to the bio-organic fertilizer.