Sebati Pradhan (35) died on the spot when she was attacked by the elephant while she was walking on the road.
Angry locals blocked road and did not allow forest personnel to take the body of the woman for post-mortem for several hours, police said.
Forest officials assured the villagers of extending compensation to family members of the deceased.
The family members of the deceased would get Rs 2 lakh as ex-gratia, while Rs 10,000 would be given to them immediately for the funeral, Divisional Forest Officer, Berhmpur, SS Mishra said.
The agitating villagers, however, demanded a government job for a relative of the deceased, besides compensation.