Agriculture has a historical significance in human society and its present-day role as a vital sector of the global economy is irrefutable. However, the increase in agricultural production prompted by the rising demands has resulted in negative environmental consequences associated waste generation. Agricultural waste (agro-waste) constitutes a significant portion of the waste generated worldwide, causing environmental contamination and posing health risks when not managed properly. It is therefore crucial to formulate pioneering approaches that effectively mitigate the adverse impacts of agricultural waste, necessitating a deeper understanding of agrowaste. This review provides an overview of agro-waste, offering insights into its generation, categorization, composition and associated environmental implications. The sustainable utilization of the agro-waste is explored addressing pressing waste management and resource optimization issues. The paper engages in a comprehensive discussion regarding how agricultural practices contribute to soil degradation, air and water pollution, emphasising their interconnection and the need for integrated solutions. Promising pathways for utilizing agricultural waste, encompassing composting, production of animal feed, bioenergy generation, fiber extractions and biochar production are explored. Additionally, the review examines the complexities of efficiently managing and utilizing agricultural waste, addressing challenges such as the diverse nature of waste sources, compositional variations, contaminants, and practical feasibility considerations. It also explores potential solutions, including the need for further research, infrastructure development, and the establishment of regulatory frameworks and policies to improve agricultural waste management.