Conducting polyaniline/barium titanate (PANI/BaTiO3) composites exhibiting piezoresistivity properties have been synthesized by the in situ deposition technique by placing a fine grade powder of BaTiO3 in the polymerization reaction mixture. The polyaniline was formed preferentially on the ceramic panicles giving a much higher yield for PANI than in absence of the BaTiO3 These composites exhibited piezoresistivity with the piezosensitivity being maximum at a certain composition. The current-voltage characteristics clearly revealed a nonlinear space charge controlled charge transport process. A large hysteresis in these characteristics was also observed which was dependent on the BaTiO3 content in a composite. The various results have been explained on the basis of the charge transport mechanism in the heterogeneous conducting material having insulating domains dispersed in it. © 2001 Materials Research Society.