hi I'm using htaccess and htpassword file during my project. Things are working fine however when I put an encoded password within the htpassword file then password doesn't match, however when I include a plain text password it will match. But I wish to match the encoded password.

Please let me know exactly what the the issue is and just how I'm able to resolve this?

It appears from comments that you simply in some way secure passwords or copy-paste it from elsewhere. Use htpasswd utility to update the .htpasswd file. See htpasswd documentation for particulars.