The development of food-borne and infectious diseases has increased globally at an anomalous rate and is combined with emerging social and economic problems. This highlights the need for new and improved antibacterial agents with novel and different mechanisms of action at regular intervals. Some chemical or artificial food additives are considered harmful if they are used beyond their permissible levels. Today, consumers are demanding alternative, green, safer, and natural food additives to increase the shelf life of food. Essential oils (EOs) are concentrated liquid mixtures of volatile compounds with antioxidant and antibacterial properties that can be used as natural, eco-friendly, renewable, and cost-effective additives. The use of combinations of different EOs and their components is a promising strategy to increase the synergistic and additive effects of EOs in foods. In this article, we review the recent literature on EOs concerning the chemical constituents, extraction methods, antioxidant and antibacterial activities, and their mechanisms of action. Additionally, we discuss the synergistic interaction of different EOs and their components, challenges, and future directions of EOs as natural food preservatives, with special emphasis on shelf life extension and applications in the packaging of food products.