© 2016 Elsevier Ltd Cassava starch was melt-blended with glycerol (70/30 wt%/wt%) at 140 °C to prepare thermoplastic starch (TPS). Chitosan (CTS) was premixed with starch and glycerol, in acidified water (lactic acid 2 wt%), at 1, 5 and 10 wt%/wt%. TPS/CTS was then melt-blended (160 °C) with polyethylene-graft-maleic anhydride (PE-MAH). Phase determination and scanning electron microscopy indicated TPS/PE-MAH/CTS had a co-continuous morphology and CTS-induced phase inversion to give dispersed PE-MAH particles in a TPS matrix. Tensile strength at break and elongation, melt viscosity, fracture toughness and water contact angle of TPS/PE-MAH were improved by CTS incorporation. TPS/PE-MAH/CTS blends decreased the melting temperature of TPS and PE-MAH compared to the neat polymers. FTIR confirmed a reaction had occurred between amino groups ([Formula presented] 2 ) of CTS and the MAH groups of PE-MAH. This reaction and the enhanced miscibility between TPS and CTS improved the mechanical properties of the TPS/PE-MAH/CTS blend, particularly at 5 wt%/wt% CTS.