Dr. Ajay Patanayak, a doctor by profession doesnt believe in the existing of God. His wife Basanti having no child has immense faith in God. She is also deeply attached to his brother in law Bijay. Laxmi, a neighbor has love interest with Bijay. Bijay visits Puris Sri Lokanath Temple for blessing with a hope to his sister in law gets a son. Basanti becomes pregnant and delivers a son. The happy family named the child as Lokanath after the deity. As Lokanath grows up, Bijay feels neglected by the family and leaves the house. Bijay becomes a tutor in Jaipur. In the meanwhile his love interest Laxmi marries to a Zamindar named Surya of Puri. Three year elapse, Basanti and his husband in Puri to offer oblation to Lord Sri Lokanath but they are however prevented from visiting the temple by a storm. The child Lokanath is bitten by a snake and his body is taken to cremation ground.

The film portrays the ambitions and struggles in a relationship among members of a middle-class family.

A man from lower social background qualifies and gets an administration job and to match his higher social occupation, he leaves his family, friends, and fiance. But gradually he understands his mistake and returns for his people. Finally he finds his wrong decision for the mining in his village has lead to the destruction and down fall of his people and everyone lives the village and him behind alone.

The story was based on nomad lifestyle. The nomad turned onto human being falls in love, fight for love and wins love fighting with many ifs and buts. The electrifying love story, with intense comedy, wonderful music has made "Jajabara" a success to remember era together.