The perovskite oxides GdCo1-xFexO3 (x = 0.10, 0.20) were prepared by chemical method. The dielectric behavior of compositions with x = 0.10 and 0.20 in the system GdCo1-xFexO3 was studied in the temperature range 300-500 K. It is observed that dielectric constant increases with increasing Fe2+ ions concentration. The frequency dependence of dielectric constant in these materials indicates that space charge polarization contributes significantly to their observed dielectric parameters. A uniform distribution of grains is observed from the microstructure by Scanning electron microscopy.