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The purpose of this work was to investigate the effect of cellulose nanocrystals (CNC) from bamboo fiber on the properties of poly (lactic acid) (PLA)/poly (butylene succinate) (PBS) composites fabricated by melt mixing at 175 °C and then hot pressing at 180 °C. PBS and CNC (0.5, 0.75, 1, 1.5 wt.%) were added to improvise the properties of PLA. The morphological, physiochemical and crystallinity properties of nanocomposites were analysed by field emission scanning electron microscope (FESEM), Fourier-transform infrared spectroscopy (FTIR) and X-ray diffractometry (XRD), respectively. The thermal and tensile properties were analysed by thermogravimetic analysis (TGA), Differential scanning calorimetry (DSC) and Universal testing machine (UTM). PLA-PBS blend shows homogeneous morphology while the composite shows rod-like CNC particles, which are embedded in the polymer matrix. The uniform distribution of CNC particles in the nanocomposites improves their thermal stability, tensile strength and tensile modulus up to 1 wt.%; however, their elongation at break decreases. Thus, CNC addition in PLA-PBS matrix improves structural and thermal properties of the composite. The composite, thus developed, using CNC (a natural fiber) and PLA-PBS (biodegradable polymers) could be of immense importance as they could allow complete degradation in soil, making it a potential alternative material to existing packaging materials in the market that could be environment friendly.