The chemical modification involved incorporation of functional groups to the main starch molecule that affected the physicochemical properties of the starch. The modification did not change the starch type, which was found to be similar, i.e., C-type to the native starch. The culinary banana (Musa ABB) peel showed impressive antimicrobial property against E. coli and thus effective against bacterial growth in films. The addition of sodium alginate showed improved mechanical property since it has unique colloidal property. Oxidative stability of butter stored in the prepared films showed better results in room temperature than the regular butter paper.