The Koraput district administration had recently declared the main entrance as 'unsafe' and advised the people against passing through it, Sub-divisional Police Officer (SDPO), Jeypore, Utkal Das said.
However, no one was injured in the incident and steps were being taken to clear the debris, he said.
The palace, built by King Rama Krushna Deb, is the pride of the town and its main gate, a centre of attraction.
After abolition of the princely states by the government, the royal family was unable to maintain the structure properly.
The only occupant in the sprawling palace is Rani Rama Devi. The octogenerian queen's other surviving relations, including grand children, stay at Visakhapatnam.
In 2011, after noticing that the condition of the main entrance was in a bad shape, the Koraput district administration had issued notice to demolish it, while the remaining portions of the palace were said to be safe, official sources said.
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However, the Queen had assured that the entrance portion would be repaired but the statusquo continued.
After the main entrance caved in today, sub-collector Birendra Kerkera met the Queen and her advocate and discussed as to what steps the royal family was taking now. (More)