The mangrove formations of Godavari estuary are due to silting over many centuries. The estuary covers an area of 62,000 ha of which dense Coringa mangrove forest spread in 6,600 ha. Satellite sensor data was used to detect change in the mangrove cover for a period of 12 years (1992-2004). It was found that an area of about 1,250 ha of mangroves was destroyed by anthropogenic interference like aquaculture, and tree felling etc. It was found that mangrove's spectral response/digital number (DN) value is much lower than non-mangrove vegetation such as plantation and paddy fields in SWIR band. By taking this as an advantage, spectral data was utilized for clear demarcation of mangroves from nearby paddy fields and other vegetation. Simpson's diversity index, which is a measure of biodiversity, was found to be 0.09, showing mangroves dominance. Ecological parameters like mud-flats/swamps, mangrove cover alterations, and biodiversity status are studied in detail for a period of 12 years. The increase in mangrove front towards coast was delineated using remote sensing data. The major advantages of remote sensing data is monitoring of change periodically. The combination of moderate and high-resolution data provided detailed coastal land use maps for implementing coastal regulation measures. The classification accuracy has been achieved is 90%. Overall, simple and viable measures are suggested based on multi-spectral data to sustain this sensitive coastal ecology.