A town in the Prussian province of East Prussia, 75 m. by rail N.E. of Thorn, on Lake Drewenz, and at the junction of lines to Memel, Elbing and Schonsee. Pop. (1905) 1 3,957. It has a castle built by the Teutonic knights in 1270, to whom the town owes its birth. Its principal manufactures are railway plant, machinery, beer, spirits and bricks, while it has several saw-mills. Osterode has a lively trade in cattle, grain and timber.
See J. Muller, Osterode and Ostpreussen (Osterode, 1905).