At a distance of 44 km from Puri, Chilika Lake is the largest inland saltwater lagoon in Asia and is located near Satapada in Odisha. Located at the mouth of the Daya River, Chilika Lake is the largest coastal lagoon in India and also the second-largest saltwater lagoon in the world after the New Caledonian Barrier Reef in New Caledonia. The lake is dotted with small islands including the most charming Honeymoon Island and Breakfast Island. With an area of 1,100 square kilometers, the pear-shaped lake stretches from Bhusandpur in the Puri district in the north to Rambha-Malud in the Ganjam district in the south and is separated from the Bay of Bengal by a narrow 60-kilometer strip of swampy islands and sandbars.
The lake is an ecosystem with large fish resources. It supports more than 150,000 fishermen living in 132 coastal and island villages. In 1981, the lake was designated as the first Indian Wetland of International Importance under the Ramsar Convention.