Due to the frequent occurrence of food safety problems in recent years, healthy diets are gradually receiving worldwide attention. Chemical pigments are used in smart food packaging because of their bright colors and high visibility. However, due to shortcomings such as carcinogenicity, people are gradually looking for natural pigments to be applied in the field of smart food packaging. In traditional smart food packaging, the indicator and the packaging bag substrate have different degrees of toxicity. Smart food packaging that combines natural colorants and cellulose-based hydrogels is becoming more and more popular with consumers for being natural, non-toxic, environmentally friendly, and renewable. This paper reviews the synthesis methods and characteristics of cellulose-based hydrogels, as well as the common types and characteristics of natural pigments, and discusses the application of natural colorants and cellulose-based hydrogels in food packaging, demonstrating their great potential in smart food packaging.