Punnagai Desam movie is about Raja(Kunal), Selvam(Hamsavardhan) and Vijay(Dhamu) are three friends harboring different ambitions of succeeding in life. Raja is an aspiring singer; Selvam wants to be a collector while Vijay hopes to make his name as a mimickry artist. Finding no support from their parents, they move to Madras and struggle to find a break.

An old friend Ganesh(Tarun) has come to the city with hopes of marrying his uncle's daughter(Sneha) but the uncle, now a rich man, dashes his hopes. He moves in with the three friends and putting aside his own dreams, helps them achieve theirs.