It is situated at the centre of the South Indian Peninsula at 213 metres (699 ft) above sea level, surrounded by Western Ghats.

A major part of present day Gobichettipalayam was previously known as "Veerapandi Gramam", and documents and records still use that name.

[7] The town was part of the country ruled by king Vēl Pāri, who is regarded as one of the Kadai ēzhu vallal (the last seven great patrons).

[13] In general, the soil in and around the city is fertile and good for agriculture purposes and the surrounding water logged rice fields contribute to the high humidity levels.

The Tamil Nadu State Transport Corporation operates a depot as a part of the Coimbatore division of TNSTC.

Buses ply to all major towns and cities within Tamil Nadu and neighboring state of Karnataka.

The nearest major railway station is Erode Junction located 38 kilometres (24 mi) from the town.

A proposal to construct a railway line connecting Mysore with Erode via Gobichettipalayam was mooted during the British rule in 1915.

Four official surveys were made in 1922, 1936, 1942 and as recently as 2008, but the plan failed to take off due to the concerns of railway line passing through the Sathyamangalam Wildlife Sanctuary.

The town has been described by the government as "Bi-functional", with 31% of the work force engaged in agriculture, 56% in trading and other activities and 13% in industry.

[27] The economy of Gobichettipalayam centers on agriculture, with paddy, sugarcane, plantain, tobacco and turmeric being the principal crops.

There are regulated market places run by the Government of India for the trade of agricultural products mainly turmeric, copra and bananas.

[29] A large number of spinning mills have come up in to support to the weaving and knitwear to supplement Tirupur.