Polymeric granules were prepared by matrix encapsulation containing 20, 35 and 50% (w/w) of natural liquid pesticide viz., Azadirachta Indica A. Juss. (neem) seed oil (NSO) per dry weight of urea formaldehyde crosslinked starch (UF-St), guar gum (UF-GG) and UF-(St ϩ GG) matrices. Results of swelling and cumulative release kinetics are presented at 35°C for these matrices. The static dissolution experiments have been carried out at 35°C for seven days. The percentage cumulative release kinetic data have been analyzed using an empirical equation to study the release pattern of NSO through the polymeric membranes employed. Transport follows the Super Case II mechanism as tested by an empirical equation. It is found that the release of the active ingredient depends upon the type of the matrix and its swelling ability. The percentage loading of NSO with different matrices and their density exerted an influence on the release data. The FTIR results indicated the absence of chemical interactions between the matrices and the NSO. In the majority of cases, entrapment efficiency was generally more than 95% indicating the efficient encapsulation. Furthermore, the experimental results are discussed in terms of the nature and the combined effect of the individual matrices as well as the percentage loading of NSO.