The two students have been identified as Arun Rathod, a first year student, and Vishal Gawas, a final year student, at the Goa Engineering College located at Farmagudi, around 25 km from here.
"We acted on a tip off that the two boys were consuming narcotics substances in the boys hostel located in the premises of the educational institution on Friday. We immediately raided the place," a police spokesperson said.
The accused have been booked under the Narcotics Drugs and Psychotropic Substances Act.
-Source IANS