Modules in Python allow organizing classes into files to make them available and easy to find. Modules are simply Python files that can import classes from other modules in the same folder. Packages allow further organizing modules into subfolders, with an __init__.py file making each subfolder a package. Modules can import classes from other modules or packages using either absolute or relative imports, and the __init__.py can simplify imports from its package. Modules can also contain global variables and classes to share resources across a program.