Thermoplastic starch compositions formed by converting native starch or starch derivatives into thermoplastic starch by at least one hydrophobic biodegradable polymer that functions as a plasticizer for starch. The hydrophobic biodegradable polymer may be a polymer selected from the following list: an aliphatic polyester, a copolyester with aliphatic and aromatic blocks, a polyester amide, a polyester urethane, a polyethylene oxide polymer and/or a polyglycol, and/or mixtures of these. When the starch, such as in particular native starch or derivatives thereof, is mixed in the melt with the hydrophobic biodegradable polymer as a plasticizer or swelling agent, to homogenize the mixture, the water content is reduced to less than about 5% by weight based on the weight of the mixture.