This study presents major element, radioactive element and rare earth element (REE) concentrations of the Garampeta to Markandi beach along the southern coast of Odisha, India to delineate the source signature and resource potential of the beach placer deposits. Average $\sum$REE concentration of the beach sand samples is about four times higher than the average crustal concentration. The LREE concentration is higher than HREE, with a pronounced negative europium anomaly. The study also discusses about the radioelement $^{238}$U, $^{232}$Th and $^{40}$K concentrations in the study area, and their relationship with REE. Weathering condition of the source rock, based on the major elements and Th$/$U ratio indicated a reasonably high degree of weathering. Major element and the REE composition along with the europium anomaly, relate the beach placers to mainly charnockite and khondalite source. An elevated level of thorium (>60 times than the average UCC values) as exhibited by the samples could be attributed due to the presence of monazites. The high concentration of REEs like Nd and Dy along with La and Ce indicates significant REE resource potential in the beach placers which is important for the resource potential in terms of the strategic mineral reserves of the country.