The United Nations World Population Forecast-2022 suggests that the Indian population could reach 1.668 billion by 2050. Consequently, the demand for increased food production and employment opportunities is also rising. Traditional farming practices alone may not be adequate to address these future challenges. As a result, novel automated technologies like artificial intelligence (AI) are being introduced into agriculture. AI can unravel the potential to sustain the human health. It also promises food security and employment opportunities for increasing population. Recently, the agriculture sector has increasingly embraced the use of AI. The fundamental idea behind integrating AI into agriculture lies in its adaptability, superior performance, precision and cost-efficiency. Using sensors, drones and satellite imagery, AI helps farmers monitor and manage fields with unparalleled accuracy by detecting anomalies and nutrient deficiencies in soil. It also provides real-time recommendations for precise irrigation, fertilization and pesticide application. AI finds application in various areas such as weather prediction and automatic adjustment of machinery for identifying diseases or pests. These advancements contribute to reduced water and pesticide usage, precise herbicide application, soil fertility preservation and enhanced farming efficiency. Despite these benefits, access to AI for small-scale farmers is limited due to lack of practical experience with new technologies and high initial cost. Therefore, the government needs to create awareness about machine learning by various schemes and training programs to improve the utilization of AI in farming practices. This review discusses the impacts, advantages, limitations and future prospects of AI in agriculture, with a focus on ensuring the sustainability of food production, water management and environmental conservation.