The play, which won the Pulitzer Prize for Drama in 20008, is a dark comedy that takes place in the three-story home of Beverly Weston and his wife, Violet, a dysfunction mother whom Streep will play.
Roberts will play the role of Violet's eldest daughter, Barbara, who is working to save her marriage with her husband, Bill.
The film's casting of Streep and Roberts has been speculated as early as 2010 but had not been confirmed by the studio until this week.
This will be the first film in which the two actresses will appear on the big screen together.
Roberts expressing enthusiasm towards working with Streep, saying in a statement, "After seeing Meryl Streep's mesmerizing portrayal as Margaret Thatcher in 'The Iron Lady,' it has me even more excited and proud to co-star with her."
August: Osage County is set for release in 2013.
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