As i am now working on jsf i want to know why we use the tag verbatim in jsf and what is the significance of it ?
Any help would be of great appreciation.
Since you've tagged your question with jsf-2 the answer is: you shouldn't use it.
It is deprecated in JSF 2.0. It was a part of JSF 1.X and used to hold plain HTML. See also this answer, the docs (since 2.1 there is an additional info: The use of this element has been deprecated in Facelets for JSF 2.0 and beyond) and the usage example.