The instructor and the trainee pilot of the aircraft DA42 were killed in the crash that happened in the morning, sources said.
Specific details about the plane could not be immediately ascertained.
The plane was on a training sortie for the National Flying Training Institute, Gondia, and it lost contact with the Mumbai Air Traffic Controller (ATC) at around 0940 hours, sources said.
Senior trainer Rajan Gupta and student Ms Shivani were in the plane and there were no survivors, sources added.
Sources also said that the aircraft broke into three and oil spill was visible in the Wainganga river at Mahalgao-Deori in Gondia district of Vidarbha where it collapsed.
The accident happened at Kirori Tehsil which is around 40 kms from Gondia.
Further details are awaited.