Two teenagers have been charged after a woman's handbag was allegedly snatched and buried in a back yard on NSW's mid-north coast.

The youths, both aged 17, approached the 54-year-old woman from behind in Clifton Drive, Port Macquarie, about 11am (AEDT) on Wednesday, police say.

They allegedly then grabbed her handbag and ran off.

One of the youths was later arrested at a nearby house in Hudson Street, where police say the handbag was buried.

The other was arrested at a house in Cedar Close.

The pair were taken to Port Macquarie police station and charged with aggravated robbery.

One of the youths was also charged with assaulting police.

Both are due to appear at Port Macquarie Children's Court on Thursday.