Party workers and leaders celebrated Pradhan's elevation at the state BJP headquarters here.
Celebrations were also organised in other parts of the state since party workers were in upbeat mood.
The state party unit also congratulated Pradhan.
BJP leaders and workers were seen exchanging sweets among themselves and beating drums at the party office here as Pradhan took oath as a Cabinet minister.
The BJP state unit president Basant Panda said the elevation of Dharmendra Pradhan would motivate the party workers at the grassroots level.
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Though only one BJP MP was elected from Odisha in 2014 elections, the prime minister chose to have two ministers from the state, he said, adding this showed Modi's love for the people of the state.
While Pradhan happens to be a Rajya Sabha member from Bihar, Union minister Joel Oram was elected to the Lok Sabha from Sundergarh in 2014.
On his part, Pradhan expressed his gratitude to Modi and said he would give his best for the 'New India' mission along with the development of eastern Indian states, especially Odisha.