Non-volatile memory packaging system with caching and method of operation thereof

A method of operation of a non-volatile memory packaging system includes: addressing an integrated circuit package having a system interface; accessing a module controller, in the integrated circuit package, through system interface; accessing a random access memory, in the integrated circuit package, by the module controller for storing data from the system interface; writing to a non-volatile memory, in the integrated circuit package by the module controller, with the data from the random access memory; and monitoring an address look-up register, by the module controller, for reading the data from the non-volatile memory or the random access memory through the system interface.