It is bounded on its southeast by Deo river which forms the natural district border for Mayurbhanj.

In response to population growth, it was officially designated as a municipality with 18.94 km2 area and was divided into 15 wards in 1973, incorporating nine neighboring villages: Karanjia, Rairangpur, Polasia, Girima, Jodideuli, Karadia, Sorubali, Ankura, and Niunti.

Karanjia is known for its Dola Yatra and Mela that is celebrated in falgun month of Odia Panjika (calendar).

Simlipal National Park, is a nearby tiger reserve 40–50 km from town.

Maa Tarini Temple,[5] Rani Sati Mandir, Brameswara Mandir, Lord Jagannath Temple, Ramtirtha waterfalls, Sanaghagara Waterfall are located near the town.

The MP is Chandrani Murmu who won it by defeating the Bharatiya Janata Party candidate Ananta Nayak.