• it helps resolve naming conflicts when different packages have classes with the same names. For example, when we are dealing with io package ie., java.io package which means something related to input output and if the package java.net package which means something related to networking 
  • this also helps you organize files with in your project
  • you can create a package as follows with package keyword which is the first keyword in any java program followed by import statements
Example

package com.abc.client;
import java.io.*;
import java.util.*;