Over the past few decades, synthetic petroleum-based packaging materials have increased, and the production of plastics has surpassed all other man-made materials due to their versatility. However, the excessive usage of synthetic packaging materials has led to severe environmental and health-related issues due to their nonbiodegradability and their accumulation in the environment. Therefore, bio-based packages are considered alternatives to substitute synthetic petroleum-based packaging material. Furthermore, the choice of packing material in the food industry is a perplexing process as it depends on various factors, such as the type of food product, its sustainability, and environmental conditions. Interestingly, due to proven mechanical, gas, and water vapor barrier properties and biological activity, polysaccharide-based bioplastics show the potential to expand the trends in food packaging, including edible films or coatings and intelligent and active food packaging. Various chemical modifications, network designs, and processing techniques have transformed polysaccharide materials into valuable final products, particularly for large-scale or high-value applications. Transitioning from petroleum-based resources to abundant bio-based polysaccharides presents an opportunity to create a sustainable circular economy. The economic viability of polysaccharide-based bioplastics is determined by several factors, including raw material costs, production technologies, market demand, and scalability. Despite their potential advantages over traditional plastics, their economic feasibility is affected by continuous technological advancements and evolving market dynamics and regulations. This review discusses the structure, properties, and recent developments in polysaccharide-based bioplastics as green and sustainable food packaging materials.