Modern agri-food systems demand crops that are climate change resilient, support environmental sustainability, enhance dietary diversity and appeal to consumers. This article examines the potential of underutilized crops in meeting these challenges. We take Lathyrus as a case study and examine it within the context of European agri-food value chains, with a particular focus on Germany and Spain. The study employs a range of methods—literature review, interviews, field observations, and consumer opinion surveys —to explore its versatility. The findings reveal that Lathyrus sativus (grass pea) offers significant benefits: it is adapted to dry climates and tolerates high rainfall. As a nitrogen fixing crop, it can play an important role in crop rotations, reducing the need for fertilization and providing an attractive alternative for organic farmers. Through appropriate processing methods, Lathyrus can enhance its beneficial nutritional characteristics. Furthermore, it is well suited for the development of innovative recipes that align with modern culinary trends and meet consumers’ expectations across different cultures. To make use of its potential, adaptive cultivation methods and value chain cooperation are needed. Along the value chain, the affordable pricing of Lathyrus-based products and clear communication of their nutritional, environmental, and social benefits prove to be most critical.