The municipality is located approximately 38 kilometers northwest away from Foggia and it borders directly on the province of Campobasso (Molise).

Like many other smaller municipalities in Italy, Castelnuovo della Daunia also has to deal with the consequences of the population's emigration from the village.

On 28 September 2015, the Italian journal "Fatto Quotidiano" reported that Castelnuovo della Daunia has a high negative record of ruins.

[3][9] In an interview, the mayor Guerino De Luca denied that Castelnuovo della Daunia was a "village of waste".

He stated that the construction of the prison was commissioned by the Italian Ministry of Justice and that the failed planning of them were the reason for the lack of success.