The present relates to a process for incorporating of wet natural fiber and starch into thermoplastics and the composite produced. The process for producing the composite comprises steps of: providing a wet natural fiber; providing a starch; providing a plasticizer; providing a thermoplastic; mixing the wet natural fiber, the starch and the plasticizer with water to produce a paste, and compounding the paste with the thermoplastic to produce the composite. The composite in a preferred embodiment comprises 50 weight % natural fiber/starch and a plasticizer; 50 weight % thermoplastic; a tensile modulus greater than 1450 MPa and a tensile strength greater than 41 MPa.