The T-shape microchannel device provides a sharp interface for the study of microdroplet formation. Hitherto, studies have focussed on using Newtonian fluids, particularly water and oils (fatty acids and straight chain alkanes). Applications of microdroplets in the medical area require an understanding of how the microdoplet generation is affected by non-Newtonian fluids which occur frequently in biological fluids. The dispersed phase for polymeric microdroplet formation was studied with different concentration of Xanthan gum solutions, which exhibit a shear thinning behaviour similar to blood plasma. Newtonian solutions of water and water-glycerol mixtures were used as a reference. Canola oil, paraffin oil, and silicone oil (with viscosities of 350 and 500 cp) were used as the continuous phase. The effects of flow rate, viscosity and concentration of the Xanthan gum solutions on droplet formation and satellite droplet formation were investigated. It was found that increasing the dispersed phase flow rate (F_d) and decreasing the continuous phase flow rate (F_c) led to larger drop diameters in both Newtonian-Newtonian and non-Newtonian-Newtonian systems. A critical concentration for Xanthan gum solution was found where the droplet generated was at the maximum diameter. At this critical concentration the size distribution of the generated droplets was the largest. Formation of secondary drops were found to occur for more viscous Xanthan gum solutions (0.25%wt and 0.5%wt) when F_c exceeded a critical value. The results provide guidelines for the selection of fluids and have been used to identify the parameter space for polymeric droplet formation with a narrow size distribution.