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The correct answer is option 3: Panchmarhi. Panchmarhi is a Biosphere Reserve located in Madhya Pradesh, India. A Biosphere Reserve is a protected area that aims to conserve and sustainably use biodiversity. It is meant to serve as a model for balancing conservation efforts with sustainable development.
Option 1: Gulf of Khambhat is not a Biosphere Reserve. It is a large bay on the Arabian Sea in the state of Gujarat, India.
Option 2: Panna is a national park and a tiger reserve in Madhya Pradesh, India. While it is an important conservation area, it is not designated as a Biosphere Reserve.
Option 4: Kinnaur is a district in the Himachal Pradesh state of India. It is not a Biosphere Reserve.
So the correct answer is option 3, Panchmarhi, which is a Biosphere Reserve in Madhya Pradesh.