Polyelectrolyte based bioactive super-absorbent material ionotropically crosslinked/neutralized involving polyvalent carboxylic acids, citrate, Kojic Acid, Alpha Arbutin along with fish scale collagen cross linked with other polyelectrolyte biopolymers preferably selected from chitosan, alginate or their combinations is used in this invention. The advancement is also directed to process of extraction of collagen of high purity from fresh water fish scale by salt and alkaline washing, crushing followed by continuous dialysis thereby minimizing the chance of collagen degradation. Also disclosed are different forms of collagen-chitosan composite biomaterial using citrate as the neutralizing buffer in combination with antimicrobial agent, antioxidant, skin plumper and melanin reducer wherein the different forms of collagen chitosan particularly sheet, flakes, powder, gel, particles, fiber, film, spray etc. reveal efficient wound healing properties. The advancement is thus directed to find wide application in various dermal wound healing, tissue engineering, 3D cell culture, cell expansion and cell delivery vehicle, mimicking the in vivo situation in dynamic condition, cosmetics and different other health care applications.