From Times Online:
Taleban fighters have been using deadly white phosphorus munitions, some of them manufactured in Britain, to attack Western forces in Afghanistan, according to previously classified United States documents released yesterday.
White phosphorus, which can burn its victims down to the bone, has been found in improvised explosive devices (IEDs) in regions across Afghanistan including in the south, where British troops are based. It has also been used in mortar and rocket attacks on American forces.
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Update: U.S. Denies Using White Phosphorous in Afghanistan, Gates Pledges More Investigation -- U.S. Department of Defense
Update: US Military Accuses Taliban of Using White Phosphorus Weapons -- Voice of America
Update: U.S. Fighting Off White Phosphorus Allegations, Again (Updated) -- The Danger Room
My Comment: The focus has been on U.S. forces being the ones responsible for using White Phosphorus in the bombing of the villages in Farah. But the evidence indicates that it is actually the Taliban who are using this product in their attacks as evidenced by allied casualties from IED attacks.