The invention is directed to a biocompatible polysaccharide derivative (I) which comprises (1) a polysaccharide covalently bonded to aspartic acid, (2) a two step process to prepare said material from a polysaccharide, maleic anhydride and ammonia, and (3) the use of these materials in a variety of technical applications, e.g. as components in soil and seed treatment compositions to provide enhanced seedling vigour and as drug delivery agents. Since the compounds (I) are only composed of natural materials (i.e. a polysaccharide and an aspartic acid), they are considered to be easily biodegradable.