The study was aimed at evaluating the antibacterial and antioxidant activity of aqueous extract of Cinnamomum verum (cinnamon) bark, in order to prevent the spoilage and rancidity of food. The extract was tested for antibacterial activity against three gram positive (Staphylococcus aureus, Bacillus cereus, Enterococcus faecali) and two gram negative (Escherichia coli, Proteus mirabilis) food borne pathogens. The extract proved to be broad spectrum antibacterial agent. Though the yield of total water soluble solid was less, there was remarkable reducing power, radical scavenging activity and metal chelation by the extract. Interestingly the extract had powerful protection to DNA against the dangerous hydroxyl radical which causes several kinds of damage to cell organelles. Total phenol content of the extract had significant positive correlation (P less than 0.05) with the antibacterial and antioxidant activity. Based on the results it can be concluded that besides the use of cinnamon as culinary spice in food, it can be alternately used as natural food preservative for its potent antibacterial and antioxidant activity.