Abstract: Industrial biotechnology, an interdisciplinary field, employs biological systems to develop solutions for various industrial applications. This review traces its historical development from ancient fermentation to modern genetic engineering and bioprocessing technologies. Foundational concepts like microbial fermentation, enzyme and metabolic engineering, and biosensors are detailed, emphasizing their roles in sustainable production. Exploring applications across sectors like pharmaceuticals, agriculture, energy, and healthcare, biotechnological innovations enhance crop improvement, pest control, bioprocessing, and biopharmaceutical production, advancing food security and healthcare outcomes. Highlighting sustainability and environmental impact, industrial biotechnology reduces fossil resource dependency, minimizes waste, and mitigates carbon emissions. Challenges and opportunities in sustainable development underscore the need for ongoing research and collaboration. In conclusion, industrial biotechnology offers promise in addressing societal challenges and fostering a sustainable future, driven by nature-inspired innovation and interdisciplinary collaboration.