Edible packaging can be used to decrease food deterioration. Removing oxygen from the packaging headspace and/or adding antioxidants to films and coatings to improve the antioxidant qualities of food surfaces are the two main ways to prevent oxidation. This chapter examines the mechanisms of edible packaging in food protection and highlights its potential as a sustainable alternative to conventional packaging. It begins by exploring the composition and structure of edible packaging, focusing on polysaccharide-based (chitosan, pectin, starch, alginate, gum, cellulose), protein-based (soy protein isolate, whey protein isolate, gelatin), and lipid-based (waxes, resins, fats, oils) materials. The chapter then addresses the protective mechanisms of edible packaging, including barrier properties (moisture, oxygen), antimicrobial activity, antioxidant functions, and physical protection (tensile strength, coating functions). Applications in diverse food categories—fruits, vegetables, meat, poultry, and seafood are discussed. Furthermore, innovative approaches, such as smart packaging, nano-encapsulation, and bio-nanocomposites, are presented. The chapter concludes with a focus on biodegradability and sustainability, emphasizing edible packaging’s potential to enhance food protection while reducing environmental impact.