Osteocalcin, the second most abundant protein in bone tissue is secreted by osteoblasts, was thought to participate in mineralization and calcium ion homeostasis. In addition to its use as biomarker in osteoporosis, recent studies have identified osteocalcin as an endocrine regulator of glucose metabolism, stimulating beta-cell insulin secretion and reducing peripheral insulin resistance. Insulin signalling in osteoblasts improves glucose handling directly by increasing secretion of active osteocalcin and indirectly by enhancing bone resorption which releases osteocalcin into the bloodstream. Thus in type 2 diabetes patient with insulin resistance serum osteocalcin level is decreased, which in turn affecting bone mineralisation. Aim: To look for an association of serum osteocalcin in type 2 diabetes mellitus. Materials and Method: The study population consisted of 46 type 2 diabetic patients as cases and 44 healthy subjects as contols. Fasting venous blood was collected from each subject and estimations of Serum Osteocalcin, Fasting Insulin, glycated haemoglobin, Serum ionized calcium ,Homeostatic model assessment (HOMA) is a calculated method used to quantify insulin resistance were done. Result: The serum osteocalcin was decreased in diabetic patients and was found to be statistically significant (P value 0.03). Serum osteocalcin negatively correlated with fasting blood sugar (r=-0.233), HbA1c (r=-0.160) and was statistically significant. Serum osteocalcin did not correlate with insulin resistance assessed by HOMA-IR, and fasting insulin. Conclusion: Serum osteocalcin was decreased in Type 2 Diabetic patients and negatively correlated with glycemic control. Thus a good glycemic control is essential part of bone health in diabetics individual.