Rotary intersection, which is a special type of at-grade intersection, where all converging vehicles are forced to move round a central island in clock-wise direction. Increasing trends of traffic in urban area is a major concern in all the cities in India. The heterogeneous traffic are more diverse in nature due to lane changing and lack of lane discipline characteristics of driver’s in India. The rotary intersections are of the most vital components of urban roadway network. Intersection is one when either three or more road meets or intersects each other. It has been observed that the entry capacity of vehicles become comparatively lower at intersection than that of the straight portion of the road due to reduction in speed. The traffic flow characteristics at rotary intersections are study to observe the performance of intersection. The capacity of the roadway rotary depends on the flow at different legs approaching the rotary. The present traffic scenario is usually used to characterize the present traffic condition to access the different parameters at different types of intersection. The crossing of vehicles is avoided by allowing all vehicles to merge into the streams around the rotary and then to diverge out to the desired radiating road. Thus the crossing conflict is eliminated and converted into weaving maneuver or a merging operation from the right and diverging operation to the left. In this paper, an comprehensive review is presented on capacity analysis of rotary intersection.