Wood polymer composite (WPC) was prepared by using solution blended high density polyethylene, low density polyethylene, polypropylene, and poly(vinyl chloride) with Phragmites karka wood flour and polyethylene-co-glycidyl methacrylate (PE-co-GMA). The effect of addition of nanoclay and ZnO on the properties of the composite was examined. The distribution of silicate layers and ZnO nanopowder was studied by X-ray diffractrometry and transmission electron microscopy. The improvement in miscibility among polymers due to addition of PE-co-GMA as compatibilizer was studied by scanning electron microscopy. WPC treated with 3 phr each of clay and ZnO showed an improvement in thermal stability and UV resistance. Mechanical and flame retarding properties were also enhanced after the incorporation of clay/ZnO nanopowder. Both water and water vapor absorption were found to decrease due to inclusion of nanoclay and ZnO in WPC. (C) 2011 Wiley Periodicals, Inc. J Appl Polym Sci, 2012