Intercropping is an agricultural technique where many crops are grown together on the same field, and it is becoming more widely acknowledged for its ability to improve productivity in food and forage production. This farming method allows for the strategic integration of a profitable crop with cover or non-profitable crops to achieve reciprocal benefits, while also spreading advantages across different agricultural systems. Intercropping designs differ to attain greater crop yields, reduce the use of chemicals and fertilizers, and enhance water-use efficiency, especially in the demanding circumstances of arid and semi-arid countries. This study examines new mechanisms via which intercropping enhances sustainable agriculture, including recent progress in ecological, genetic, and microbial interactions that enhance plant growth and resilience. The adaptability of the Mediterranean region, for varied agricultural methods is also assessed, with a particular focus on the possibilities for implementing intercropping systems. This study provides a thorough analysis of existing research, emphasizing the many advantages of intercropping and its contribution to the progress of sustainable agriculture.