The present work deals with the synthesis of biodegradable hydrogel using a natural polysaccharide Aloevera and vinyl monomer acrylic acid. In this synthesis, ammonium per sulphate was used as an initiator and glutaraldehyde as cross-linker, acrylic acid was used as monomers and Aloevera as backbone. Grafting was confirmed by different techniques like SEM, FT-IR, XRD and EDS. Maximum percentage swelling of synthesized hydrogel was found to be 796 %. Biodegradation behavior of Av-cl-poly(AA) was studied by soil burial, compositing and vermicompositing method. Maximum biodegradation was found to be 90%, 94% and 93% in case of soil burial, composting and vermicomposting methods, respectively. Biodegradation of Av-cl-poly(AA) was confirmed by FTIR and SEM techniques. Water retention capacity was prolonged from 11days to 20 days using synthesized Av-cl-poly(AA). Water content of clay soil and sandy loam soil was increased to an extent of 6.1% and 5.79%, respectively.