Composites were fabricated with alkali (10%, 15% and 20%) treated bamboo fibers incorporated to the extent of 50% (by volume) and polyester resin. Impact test was made on bamboo strips and composites samples. It was observed that the fracture energy undergoes an increase from untreated to alkali treated bamboo strips. Alkali treated bamboo fiber composites show higher fracture energy value than the untreated bamboo fiber composites. The phenomenal change was quite evident from scanning electron micrographs of the fractured surface. Considering the effects of all factors, the work of fracture shows maximum value in the case of 20% alkali treated bamboo strip composites. It was also observed that the rate of increase of work of fracture value is much higher in the case of composite samples than the bamboo sample. It was explained on the basis of synergism obtained by improved interfacial adhesion between fiber and matrix, and removal of hemicellulose from the bamboo itself, which was evident from the intermolecular H-bonding formation studied by FT-IR.