The present invention in provides a multilayer sheet comprising a poly vinyl alcohol (PVOH) layer only as an oxygen barrier layer. The multilayer sheet comprises an outer layer and an inner layer wherein the poly vinyl alcohol (PVOH) layer is sandwiched. The present invention also provides an environmental friendly method for manufacturing a multilayer sheet comprising preparing aqueous emulsion of the polyvinyl alcohol and applying over the outer sheet and drying the same at about 100-120° C. This multilayer sheet can be recycled very efficiently as the percentage of polyethylene is more than 90%.