Nanotechnology is enabling the reassembling and self-assembling of the nanoparticles. Applications of nano-techniques have become an important part of food processing and manufacturing industries. In food processing, nano-technology revolutionizes the conventional concepts and stimulates the innovative ideas such as encapsulation of the functional food additive for proper targeting, nano biopolymers, nanoemulsion, nanocapsule from alpha-lactalbumin and different types of fortification in the food products to improve the nutritional values of the final food products. Application of different techniques in food packaging material can overcome many challenges in food sectors. Smart packaging, active packaging, antimicrobial packaging, and barrier applications broader the concepts of food safety by keeping the food safe for longer period of time and by ensuring the quality of the food perfect. Smart packaging also helps the consumer to choose the suitable product. Nano-sensors are used to express the products characteristics or to control the microbial load in the food product. Our findings from the literature review suggest that nanotechnology has important implications in food science and has potential to bring further improvement in food processing and packaging in particular. This review summarizes the recent developments in nanotechnology with special reference to its applicability to food processing and packaging.