Can anybody tell me how to handle more number of requests on server using PHP ?

If there are 1000 request capability of web server at a time and if more number of requests (say 1500) are encounter on server at a time, then how the SEVER maintains and process these requests. Is queue implementation is helpful or there is some other way to increase the capability of server.

Assuming that you use an Apache server, the best you can do for increased capacity is to increase the RAM.

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Have a look at Little's Law and load testing.

I have a similar problem my site is hosted on a shared server can you please tell me if you could solve the issue

You may find these benchmarking results interesting.

1000 simultaneous requests is a pretty big number. Is this a real problem or is this a theoretical question? If you have that much traffic, then your operation should be big enough to pay for experts to advise you on performance. If you are using a shared server then I would think that you need dedicated resources. Obviously, the results for any particular server will depend on the specific hardware and how it is configured. Once you pass the limits of an individual server, then you are into more complex load-sharing systems such as the one that linked to below: