In this proposed project we have synthesized blend of starch/PVA/nanoclay via solution cast method. The composition of blend was starch and PVA in 1:1 ratio by weight with citric acid as plasticizer. The amount of nanoclay was varied between 0.5 to 2 wt%. The structure elucidation of the film by Scanning electron microscopy reveals homogeneous dispersion of nanoclay into polymer matrix. The biodegradation of the films were studied by soil burial method and enzymatic hydrolysis and it was found that completely biodegradable films were produced which could serve as potential candidate for food packaging.