diff --git a/internal/pkg/pipeline/task/archive/README.md b/internal/pkg/pipeline/task/archive/README.md
new file mode 100644
index 0000000..90a8020
--- /dev/null
+++ b/internal/pkg/pipeline/task/archive/README.md
@@ -0,0 +1,85 @@
+# Archive Task
+
+The `archive` task packages or extracts files using various archive formats, enabling efficient file bundling and extraction for data processing pipelines.
+
+## Function
+
+The archive task can operate in two modes:
+- **Pack mode**: Combines multiple files into a single archive
+- **Unpack mode**: Extracts files from an archive
+
+## Behavior
+
+The archive task processes data based on the `action` field:
+- **Pack**: Receives individual files and creates an archive file containing them
+- **Unpack**: Receives an archive file and extracts its contents, outputting each file individually
+
+The task receives records from its input channel, applies the archiving operation, and sends the processed records to its output channel.
+
+## Configuration Fields
+
+| Field | Type | Default | Description |
+|-------|------|---------|-------------|
+| `name` | string | - | Task name for identification |
+| `type` | string | `archive` | Must be "archive" |
+| `format` | string | `zip` | Archive format (zip, tar) |
+| `action` | string | `pack` | Action type (pack or unpack) |
+
+## Supported Formats
+
+The task supports the following archive formats:
+- **zip**: Standard ZIP format, widely compatible
+- **tar**: TAR format, commonly used in Unix/Linux environments
+
+## Example Configurations
+
+### Pack files into a ZIP archive:
+```yaml
+tasks:
+  - name: create_zip
+    type: archive
+    format: zip
+    action: pack
+```
+
+### Unpack a ZIP archive:
+```yaml
+tasks:
+  - name: extract_zip
+    type: archive
+    format: zip
+    action: unpack
+```
+
+### Pack files into a TAR archive:
+```yaml
+tasks:
+  - name: create_tar
+    type: archive
+    format: tar
+    action: pack
+```
+
+### Unpack a TAR archive:
+```yaml
+tasks:
+  - name: extract_tar
+    type: archive
+    format: tar
+    action: unpack
+```
+
+## Sample Pipelines
+
+- `test/pipelines/zip_pack_test.yaml` - ZIP packing example
+- `test/pipelines/zip_unpack_test.yaml` - ZIP unpacking example
+- `test/pipelines/tar_unpack_multifile_test.yaml` - TAR unpacking with multiple files
+
+## Use Cases
+
+- **File bundling**: Package multiple files into a single archive for distribution
+- **Data consolidation**: Combine separate data files into archives for storage
+- **Archive extraction**: Extract files from archives for processing
+- **Backup operations**: Create archives of processed data for backup
+- **Format conversion**: Convert between archive formats
+- **Multi-file handling**: Process multiple files as a single archive unit
diff --git a/internal/pkg/pipeline/task/archive/archive.go b/internal/pkg/pipeline/task/archive/archive.go
new file mode 100644
index 0000000..f093e58
--- /dev/null
+++ b/internal/pkg/pipeline/task/archive/archive.go
@@ -0,0 +1,103 @@
+package archive
+
+import (
+	"fmt"
+
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/record"
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task"
+)
+
+type actionType string
+
+const (
+	actionPack   actionType = `pack`
+	actionUnpack actionType = `unpack`
+)
+
+const (
+	defaultFormat = `zip`
+	defaultAction = `pack`
+)
+
+type archiver interface {
+	Read()
+	Write()
+}
+
+type channelStruct struct {
+	InputChan  <-chan *record.Record
+	OutputChan chan<- *record.Record
+}
+
+var (
+	supportedFormats = map[string]func(bs *task.Base, chStruct *channelStruct) archiver{
+		"zip": func(bs *task.Base, ch *channelStruct) archiver {
+			return &zipArchive{
+				Base:          bs,
+				channelStruct: ch,
+			}
+		},
+		"tar": func(bs *task.Base, ch *channelStruct) archiver {
+			return &tarArchive{
+				Base:          bs,
+				channelStruct: ch,
+			}
+		},
+	}
+
+	supportedActions = map[string]func(archiver) func(){
+		`pack`:   func(a archiver) func() { return a.Write },
+		`unpack`: func(a archiver) func() { return a.Read },
+	}
+)
+
+type core struct {
+	task.Base `yaml:",inline" json:",inline"`
+	Format    string     `yaml:"format,omitempty" json:"format,omitempty"`
+	Action    actionType `yaml:"action,omitempty" json:"action,omitempty"`
+}
+
+func New() (task.Task, error) {
+	return &core{
+		Format: defaultFormat,
+		Action: defaultAction,
+	}, nil
+}
+
+func (c *core) UnmarshalYAML(unmarshal func(interface{}) error) error {
+	type raw core
+	obj := raw{
+		Format: defaultFormat,
+		Action: defaultAction,
+	}
+	if err := unmarshal(&obj); err != nil {
+		return err
+	}
+
+	if obj.Action != actionPack && obj.Action != actionUnpack {
+		return fmt.Errorf("invalid action: %s (must be 'pack' or 'unpack')", obj.Action)
+	}
+
+	*c = core(obj)
+
+	return nil
+}
+
+func (c *core) Run(input <-chan *record.Record, output chan<- *record.Record) (err error) {
+
+	if input == nil {
+		return task.ErrNilInput
+	}
+
+	var archiv archiver
+
+	archiv = supportedFormats[c.Format](&c.Base, &channelStruct{
+		InputChan:  input,
+		OutputChan: output,
+	})
+
+	actionFunc := supportedActions[string(c.Action)](archiv)
+	actionFunc()
+
+	return nil
+}
diff --git a/internal/pkg/pipeline/task/archive/tar.go b/internal/pkg/pipeline/task/archive/tar.go
new file mode 100644
index 0000000..2e9a194
--- /dev/null
+++ b/internal/pkg/pipeline/task/archive/tar.go
@@ -0,0 +1,108 @@
+package archive
+
+import (
+	"archive/tar"
+	"bytes"
+	"io"
+	"log"
+	"path/filepath"
+	"strings"
+
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/record"
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task"
+)
+
+type tarArchive struct {
+	*task.Base
+	*channelStruct
+}
+
+func (t *tarArchive) Read() {
+
+	for {
+		rc, ok := t.GetRecord(t.InputChan)
+		if !ok {
+			break
+		}
+
+		if len(rc.Data) == 0 {
+			continue
+		}
+
+		b := rc.Data
+
+		r := tar.NewReader(bytes.NewReader(b))
+
+		for {
+			header, err := r.Next()
+			if err == io.EOF {
+				break
+			}
+			if err != nil {
+				log.Fatal(err)
+			}
+
+			// check the file type is regular file
+			if header.Typeflag == tar.TypeReg {
+				buf := make([]byte, header.Size)
+				if _, err := io.ReadFull(r, buf); err != nil && err != io.EOF {
+					log.Fatal(err)
+				}
+				rc.SetContextValue(string(task.CtxKeyArchiveFileNameWrite), filepath.Base(header.Name))
+				t.SendData(rc.Context, buf, t.OutputChan)
+			}
+
+		}
+	}
+}
+
+func (t *tarArchive) Write() {
+
+	var buf bytes.Buffer
+	tw := tar.NewWriter(&buf)
+	var rc record.Record
+
+	for {
+		rec, ok := t.GetRecord(t.InputChan)
+		if !ok {
+			break
+		}
+		b := rec.Data
+
+		if len(b) == 0 {
+			continue
+		}
+
+		filePath, found := rec.GetContextValue(string(task.CtxKeyFileNameWrite))
+		if !found {
+			log.Fatal("filepath not set in context")
+		}
+
+		if filePath == "" {
+			log.Fatal("empty filepath in context")
+		}
+
+		filePath = strings.ReplaceAll(filePath, "\\", "/")
+
+		header := &tar.Header{
+			Name: filePath,
+			Mode: 0600,
+			Size: int64(len(b)),
+		}
+		if err := tw.WriteHeader(header); err != nil {
+			log.Fatal(err)
+		}
+
+		if _, err := tw.Write(b); err != nil {
+			log.Fatal(err)
+		}
+
+		rc.Context = rec.Context
+	}
+
+	if err := tw.Close(); err != nil {
+		log.Fatal(err)
+	}
+
+	t.SendData(rc.Context, buf.Bytes(), t.OutputChan)
+}
diff --git a/internal/pkg/pipeline/task/archive/zip.go b/internal/pkg/pipeline/task/archive/zip.go
new file mode 100644
index 0000000..53b10bd
--- /dev/null
+++ b/internal/pkg/pipeline/task/archive/zip.go
@@ -0,0 +1,106 @@
+package archive
+
+import (
+	"archive/zip"
+	"bytes"
+	"io"
+	"log"
+	"path/filepath"
+	"strings"
+
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/record"
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task"
+)
+
+type zipArchive struct {
+	*task.Base
+	*channelStruct
+}
+
+func (z *zipArchive) Read() {
+	for {
+		rc, ok := z.GetRecord(z.InputChan)
+		if !ok {
+			break
+		}
+
+		if len(rc.Data) == 0 {
+			continue
+		}
+
+		b := rc.Data
+
+		r, err := zip.NewReader(bytes.NewReader(b), int64(len(b)))
+		if err != nil {
+			log.Fatal(err)
+		}
+		for _, f := range r.File {
+
+			// check the file type is regular file
+			if f.FileInfo().Mode().IsRegular() {
+
+				rc.SetContextValue(string(task.CtxKeyArchiveFileNameWrite), filepath.Base(f.Name))
+
+				fs, err := f.Open()
+				if err != nil {
+					log.Fatal(err)
+				}
+
+				buf := make([]byte, f.FileInfo().Size())
+
+				_, err = fs.Read(buf)
+				if err != nil && err != io.EOF {
+					log.Fatal(err)
+				}
+
+				fs.Close()
+
+				z.SendData(rc.Context, buf, z.OutputChan)
+			}
+		}
+	}
+}
+
+func (z *zipArchive) Write() {
+
+	zipBuf := new(bytes.Buffer)
+	zipWriter := zip.NewWriter(zipBuf)
+	var rc record.Record
+
+	for {
+		rec, ok := z.GetRecord(z.InputChan)
+		if !ok {
+			break
+		}
+
+		filePath, found := rec.GetContextValue(string(task.CtxKeyFileNameWrite))
+		if !found {
+			log.Fatal("filepath not set in context")
+		}
+
+		if filePath == "" {
+			log.Fatal("empty filepath in context")
+		}
+
+		filePath = strings.ReplaceAll(filePath, "\\", "/")
+
+		w, err := zipWriter.Create(filePath)
+		if err != nil {
+			log.Fatal(err)
+		}
+		_, err = w.Write(rec.Data)
+		if err != nil {
+			log.Fatal(err)
+		}
+
+		rc.Context = rec.Context
+	}
+
+	if err := zipWriter.Close(); err != nil {
+		log.Fatal(err)
+	}
+
+	// Send the complete ZIP archive
+	z.SendData(rc.Context, zipBuf.Bytes(), z.OutputChan)
+
+}
diff --git a/internal/pkg/pipeline/task/compress/formats.go b/internal/pkg/pipeline/task/compress/formats.go
index 5424d0f..8ca7b5a 100644
--- a/internal/pkg/pipeline/task/compress/formats.go
+++ b/internal/pkg/pipeline/task/compress/formats.go
@@ -26,7 +26,7 @@ var (
 				return io.NopCloser(snappy.NewReader(r)), nil
 			},
 			NewWriter: func(w io.Writer) io.WriteCloser {
-				return snappy.NewWriter(w)
+				return snappy.NewBufferedWriter(w)
 			}},
 	}
 )
diff --git a/internal/pkg/pipeline/task/file/file.go b/internal/pkg/pipeline/task/file/file.go
index 50caed6..722e315 100644
--- a/internal/pkg/pipeline/task/file/file.go
+++ b/internal/pkg/pipeline/task/file/file.go
@@ -5,7 +5,9 @@ import (
 	"context"
 	"fmt"
 	"io"
+	"log"
 	"net/url"
+	"path/filepath"
 	"strings"
 
 	"github.com/patterninc/caterpillar/internal/pkg/config"
@@ -134,6 +136,7 @@ func (f *file) readFile(output chan<- *record.Record) error {
 
 		// Create a default record with context
 		rc := &record.Record{Context: ctx}
+		rc.SetContextValue(string(task.CtxKeyFileNameWrite), filepath.Base(path))
 
 		// let's write content to output channel
 		f.SendData(rc.Context, content, output)
@@ -168,11 +171,25 @@ func (f *file) writeFile(input <-chan *record.Record) error {
 			pathScheme = fileScheme
 		}
 
+		var fs file
+
+		fs = *f
+		filePath, found := rc.GetContextValue(string(task.CtxKeyArchiveFileNameWrite))
+		if found {
+			if filePath == "" {
+				log.Fatal("required file path")
+			}
+
+			filePath = strings.ReplaceAll(filePath, "\\", "/")
+
+			fs.Path = f.Path + config.String(filePath)
+		}
+
 		writerFunction, found := writers[pathScheme]
 		if !found {
 			return unknownSchemeError(pathScheme)
 		}
-		if err := writerFunction(f, rc, bytes.NewReader(rc.Data)); err != nil {
+		if err := writerFunction(&fs, rc, bytes.NewReader(rc.Data)); err != nil {
 			return err
 		}
 	}
diff --git a/internal/pkg/pipeline/task/file/local.go b/internal/pkg/pipeline/task/file/local.go
index f24bac9..0ee232a 100644
--- a/internal/pkg/pipeline/task/file/local.go
+++ b/internal/pkg/pipeline/task/file/local.go
@@ -3,6 +3,7 @@ package file
 import (
 	"io"
 	"os"
+	"path/filepath"
 	"strings"
 
 	"github.com/bmatcuk/doublestar"
@@ -52,6 +53,12 @@ func writeLocalFile(f *file, rec *record.Record, reader io.Reader) error {
 		return err
 	}
 
+	dir := filepath.Dir(path)
+	err = os.MkdirAll(dir, os.ModePerm)
+	if err != nil {
+		return err
+	}
+
 	outputFile, err := os.Create((path[getPathIndex(path):]))
 	if err != nil {
 		return err
diff --git a/internal/pkg/pipeline/task/task.go b/internal/pkg/pipeline/task/task.go
index 688b3c0..749c36b 100644
--- a/internal/pkg/pipeline/task/task.go
+++ b/internal/pkg/pipeline/task/task.go
@@ -21,6 +21,13 @@ var (
 	ErrPresentInputOutput = fmt.Errorf(`either input or output must be set, not both`)
 )
 
+type contextKeyFile string
+
+const (
+	CtxKeyFileNameWrite        contextKeyFile = "CATERPILLAR_FILE_NAME_WRITE"
+	CtxKeyArchiveFileNameWrite contextKeyFile = "CATERPILLAR_ARCHIVE_FILE_NAME_WRITE"
+)
+
 type Task interface {
 	Run(<-chan *record.Record, chan<- *record.Record) error
 	GetName() string
diff --git a/internal/pkg/pipeline/tasks.go b/internal/pkg/pipeline/tasks.go
index 3098816..f54575d 100644
--- a/internal/pkg/pipeline/tasks.go
+++ b/internal/pkg/pipeline/tasks.go
@@ -7,6 +7,7 @@ import (
 	"gopkg.in/yaml.v3"
 
 	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task"
+	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task/archive"
 	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task/aws/parameter_store"
 	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task/compress"
 	"github.com/patterninc/caterpillar/internal/pkg/pipeline/task/converter"
@@ -33,6 +34,7 @@ type tasks []task.Task
 var (
 	validate       = validator.New()
 	supportedTasks = map[string]func() (task.Task, error){
+		`archive`:             archive.New,
 		`aws_parameter_store`: parameter_store.New,
 		`compress`:            compress.New,
 		`converter`:           converter.New,
diff --git a/test/pipelines/birds.txt b/test/pipelines/birds.txt
new file mode 100644
index 0000000..a4d4284
--- /dev/null
+++ b/test/pipelines/birds.txt
@@ -0,0 +1,124 @@
+Albatross
+Acorn Woodpecker
+American Kestrel
+Anna's Hummingbird
+Bald Eagle
+Baltimore Oriole
+Barn Swallow
+Belted Kingfisher
+Bicolored Antbird
+Black Capped Chickadee
+Black Skimmer
+Blue Jay
+Bluebird
+Bobolink
+Bohemian Waxwing
+Brown Creeper
+Brown Pelican
+Burrowing Owl
+California Condor
+California Quail
+Canada Goose
+Cardinal
+Caspian Tern
+Cedar Waxwing
+Chestnut Sided Warbler
+Chimney Swift
+Chipping Sparrow
+Clark's Nutcracker
+Clay Colored Sparrow
+Cliff Swallow
+Columbiformes
+Common Eider
+Common Goldeneye
+Common Grackle
+Common Loon
+Common Merganser
+Common Raven
+Common Tern
+Common Yellowthroat
+Coopers Hawk
+Cory's Shearwater
+Crested Flycatcher
+Curve Billed Thrasher
+Dark Eyed Junco
+Dickcissel
+Dovekie
+Downy Woodpecker
+Drab Seedeater
+Dunnock
+Eastern Bluebird
+Eastern Meadowlark
+Eastern Phoebe
+Eastern Screech Owl
+Eastern Towhee
+Eastern Wood Pewee
+Eared Grebe
+Egyptian Plover
+Elanus leucurus
+Evening Grosbeak
+Eared Quetzal
+Eurasian Wigeon
+European Starling
+Fabulous Flamingo
+Ferruginous Hawk
+Fiscal Flycatcher
+Flammulated Owl
+Flatbill
+Flesh Footed Shearwater
+Florida Jay
+Fringilla coelebs
+Fulmar
+Gadwall
+Gambel's Quail
+Gannet
+Garden Warbler
+Gnatcatcher
+Godwit
+Golden Eagle
+Golden Winged Warbler
+Goldeneye
+Goldfinch
+Goosander
+Goshawk
+Grace's Warbler
+Grasshopper Sparrow
+Gray Catbird
+Great Black Backed Gull
+Great Blue Heron
+Great Crested Flycatcher
+Great Horned Owl
+Great Kiskadee
+Great Spotted Woodpecker
+Great Tit
+Grebe
+Greenbul
+Green Heron
+Green Tailed Towhee
+Green Winged Teal
+Greenlet
+Grey Kingbird
+Grey Owl
+Grosbeaks
+Grouse
+Gull
+Hairy Woodpecker
+Hammond's Flycatcher
+Harris Hawk
+Harris Sparrow
+Hawaiian Creeper
+Hawaiian Goose
+Hawfinch
+Heathland Francolin
+Herring Gull
+Hoary Puffleg
+Hooded Merganser
+Hooded Oriole
+Hooded Warbler
+Hoopoe
+Horned Auk
+Horned Grebe
+Horned Lark
+House Finch
+House Sparrow
+House Wren
\ No newline at end of file
diff --git a/test/pipelines/planets.tar.gz b/test/pipelines/planets.tar.gz
new file mode 100644
index 0000000..756a4e8
Binary files /dev/null and b/test/pipelines/planets.tar.gz differ
diff --git a/test/pipelines/tar_unpack_multifile_test.yaml b/test/pipelines/tar_unpack_multifile_test.yaml
new file mode 100644
index 0000000..0a4ad03
--- /dev/null
+++ b/test/pipelines/tar_unpack_multifile_test.yaml
@@ -0,0 +1,15 @@
+tasks:
+  - name: planet_tar_file
+    type: file
+    path: test/pipelines/planets.tar.gz
+  - name: decompress_gzip
+    type: compress
+    format: gzip
+    action: decompress
+  - name: unpack_planets_file
+    type: archive
+    format: tar
+    action: unpack
+  - name: store_unpacked_file
+    type: file  
+    path: unpacked_planets/
\ No newline at end of file
diff --git a/test/pipelines/zip_pack_test.yaml b/test/pipelines/zip_pack_test.yaml
new file mode 100644
index 0000000..8fa8fd2
--- /dev/null
+++ b/test/pipelines/zip_pack_test.yaml
@@ -0,0 +1,9 @@
+tasks:
+  - name: birds_file
+    type: file
+    path: test/pipelines/birds.txt
+  - name: pack_file
+    type: archive
+  - name: store_packed_file
+    type: file
+    path: packed_birds.zip
\ No newline at end of file
diff --git a/test/pipelines/zip_unpack_test.yaml b/test/pipelines/zip_unpack_test.yaml
new file mode 100644
index 0000000..b95f4d8
--- /dev/null
+++ b/test/pipelines/zip_unpack_test.yaml
@@ -0,0 +1,10 @@
+tasks:
+  - name: birds_zip_file
+    type: file
+    path: test/pipelines/packed_birds.zip
+  - name: unpack_birds_file
+    type: archive
+    action: unpack
+  - name: store_unpacked_file
+    type: file
+    path: unpacked_birds.txt
\ No newline at end of file