mysqldump is a command-line utility used to create backups of MySQL databases. It generates a text file containing SQL statements that can recreate the database structure and data. This tool is essential for data recovery and migration, allowing users to safeguard their information. The output from mysqldump can be used to restore a database by executing the SQL commands in the generated file. It supports various options, such as backing up specific tables or excluding certain data, making it a flexible solution for database management and maintenance.