Due to the development of nanotechnology and changing customer demands for food safety and hygiene, the food packaging industry is growing significantly. In today's worldwide market, active packaging offers a number of advantages over traditional wrapping because of its capacity to absorb or release substances to improve the shelf life of food. Traditional food packaging materials are difficult to recycle and are made from nonrenewable fossil fuels. Development of Biodegradable films using Nano cellulose can be a good replacement for synthetic plastic packaging materials and can be a good solution for this problem. Other than that it has multiple advantages regarding tensile and physical properties, also in reducing health hazards. Tensile and physical characteristics are improved and water vapor permeability is decreased with the addition of cellulose nanoparticles to the biodegradable films/biodegradable composite films. The production of biodegradable materials employing Nano cellulose has been covered in this review study in four different ways, including extracts from agricultural waste, rice husk, various plant extracts, and biopolymer composite material in food packaging. The reason for using Nano cellulose based Biodegradable films in food packaging are also reviewed in this article. The key points for the future research in overcoming the problems related to Nano cellulose, biodegradable films are also predicted in the paper