Edible food packaging has emerged as an innovative solution to address the environmental issues of plastic pollution and excessive packaging. Traditional petroleum-based plastics, commonly used for food packaging due to their availability, strength, and cost-effectiveness, contribute significantly to landfill waste, water pollution, and health problems. In contrast, edible packaging made from natural polymers like proteins and polysaccharides offers a sustainable alternative. However, these materials often have weaker mechanical properties, durability, and barrier characteristics than plastics. This chapter reviews the development of edible packaging, such as films, coatings, and fibers, emphasizing their environmental benefits and recent advancements in the field. Despite their potential, edible packaging faces challenges in protecting food products effectively due to their inferior gas barrier and water resistance properties. To overcome these limitations, innovative methods, such as advanced emulsion technology under controlled conditions (pH, temperature, and ionic strength), are being researched to enhance the barrier properties, texture, antimicrobial effects, and rheological behavior of lipid-based films. This chapter highlights the importance of addressing these challenges to create effective, sustainable edible packaging solutions that offer both environmental benefits and improved functionality.