The medical college would be set up at an estimated cost of Rs 202 crore.
In a public meeting held on the occasion, Patnaik said his government was committed towards providing good health services to the poor and tribal people of the state.
Health and family welfare minister Atanu Sabyasachi Nayak said construction work of the medical college would be completed by 2017.
He said the new medical college would solve the issue of scarcity of doctors in the district.
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