Fully Ceramic Microencapsulated (FCM) fuel is one of the most advancedfuel types for the next nuclear reactor generations. The use of uranium carbide fuel in FCM offers multiple benefits such as high fuel density, improved thermal conductivity and enhanced mechanical stability. Both UC and conventional fuel (UO2) have the same melting point. As a result, under reactor operating conditions, UC has better safety margins. In addition, FeCrAl is a promising cladding material. However, because of its greater thermal neutron absorption cross section, FeCrAl has a neutronic penalty when compared to Zircaloy leading to an annual reload requirement with high fuel enrichment. Owing to their low power density and excellent design, small modular reactors (SMRs) have exceptional inherent safety. In this work, we determined the optimum design of an accident tolerant fuel (ATF), with respect to neutronics, in SMART reactor using dense UC FCM (in contrast to the conventional UO2 fuel) and a combination of zircalloy and FeCrAl (FCM -Zircaloy, FCM -FeCrAl, FCM -combining of zircaloy and FeCrAl) as cladding to achieve better thermal conductivity as well as safer performance, while considering the required fuel enrichment for the proposed designs. The effective multiplication factor and burnup were calculated for neutronic assessment of the SMART core, the outcomes are showcased alongside a comprehensive assessment of the characteristics and prospective. The neutronic parameters were estimated using the stochastic MCNPX 2.6 code. We found that Fully Ceramic Microencapsulated -Uranium Carbide (FCM-UC) fuel type was more attractive than conventional UO2. The optimum cladding design as compared to the reference case and the other cases of (FCM-UC), was determined. When 50% FeCrAl cladding was employed, case 15 in our study emerged as the superior design, demonstrating maximum production of 239Pu due to higher initial concentrations of 235U and quantities of 238U. This work may offer recommendations for future optimized designs of the SMART reactor parameters.