Abstract Packaging represents a huge field of application for plastic materials, especially for food and beverage purposes. For many years, conventional plastics have been manufactured and used for packaging applications in different sectors. However, plastics based on fossil resources are not biodegradable, which has led to serious environmental issues and recycling problems. In the last years, bio‐based and biodegradable polymers are gaining popularity, emerging as a substitute strategy for some industrial applications to reduce the risk associated with fossil‐based plastics. In this field, biocomposites consisting of bio‐based thermoplastics and natural fillers are gaining traction and increasing interest and investment from industries seeking sustainable solutions to meet consumer demands. In this review, recent advances in the use and characterization of biopolymers and biocomposites, and their potential as a packaging material are addressed. Legal regulation for packaging applications in Europe and United States of America are explored and its enforcement for biocomposite materials is discussed. This work provides relevant information of biocomposites performance for packaging applications, market perspective and legal compliance. Highlights Global plastic production achieved a total of 400.3 M tons in 2022. Packaging is the main application for plastics which is an environmental issue. Biocomposites are a sustainable alternative for packaging. Natural fillers improve relevant properties for biocomposite packaging materials. Legal aspects regarding biocomposites for food packaging is explored.