This paper reports on the physical and mechanical properties of the thermoplastic sago starch/kenaf fibre (TPSS/KF) composite. The composite was prepared through a compression molding technique at varying fibre contents of 0, 10, 20 and 30wt.%, whilst the effect of the fibres incorporation was evaluated by physical and mechanical tests, as well as morphological analysis. Reduction of moisture content and denser composite were achieved with a higher fibre content. Meanwhile, the water absorption of the composite was lower than the thermoplastic with an increase in the kenaf fibre loading. Tensile testing improved strength and modulus with the increase of fibres content until an optimum was reached at 30wt.% of fiber loading. Morphological analysis showed good wetting between the polymer matrix and fibres that provided the tensile improvement.