ABSTRACTThis study is aimed at fabricating composite films by cross‐linking polyvinyl alcohol (PVA) and dialdehyde cellulose (DAC) in varying ratios using citric acid as a catalyst. The acetal formation between the two components was studied using FTIR. Characterizations of the physiochemical properties revealed that increasing the DAC ratio of the composite film improved the hydrophobicity, tensile strength and barrier properties (water vapour, UV and oxygen) of the films while reducing elongation at break (flexibility), swelling and solubility of the film in water. When the DAC ratio was elevated to 50%, the tensile strength was enhanced to 98 MPa. In comparison, flexibility diminished to 29%, the solubility of the film reduced to 10% and water vapour permeability was lower by two orders of magnitude than that of the control PVA film. The peroxide value of linoleic acid decreased from 21.2% ± 7.6 (packed with PVA film) to 9.9% ± 0.9 (packed with 50% DAC composite film) after 15 days. Furthermore, the composite films demonstrated effective absorption of UV radiation, with the order of effectiveness being UV‐C > UV‐B > UV‐A radiation. No significant difference in biodegradability was detected in the composite films with an increase in DAC ratio during indoor soil burial tests for 30 days. This study implies that the composite film could serve as an alternative sustainable packaging option, especially when transparency and high oxygen barrier properties are desired.