In general I'd say SSHing from a remote box to another remote box is a non-issue since you can always use some sort of tunneling/bastioning to make that work.
It's when you want to use some other tool that tunnels over SSH -- scp, git, sftp, rsync, etc. -- that you run into trouble.
Consider a remote development instance. So I'm an engineer, and instead of developing on my local I do development on an EC2 instance in AWS (there are a variety of reasons this may be preferential or even required). If I'm pushing & pulling code from GitHub to/from this development instance I'm gonna need to either have a private key on that development instance or have agent forwarding back to my local.
Now suppose I want to copy a large database snapshot between two instances on EC2. There are obvious benefits to being able to transfer directly between these two instances, on the same private network, versus bringing the data to your local (where you might not even have sufficient disk space) and pushing it back up.
Not sure what other use cases exist, but these two alone I think justify the existence of agent forwarding.
SSH agent forwarding does have subtle security issues. But so does putting a private key on a remote server. If you're the only one who has access to the remote server, neither option is problematic. If someone else has root, and you don't trust that person, then both are problematic (and which is worse is debatable).