The purpose of this study was qualitative explore processes of social identity construction among Balouch students at state universities. In this research, grounded theory has been used as one of the qualitative research methods. The research participants are Master and PhD Balouch students at state universities. Data are obtained through in-depth interviews. Interviews continued to reach theoretical saturation in the various interviewed subjects. Data analysis was performed using open, axial, and selective coding, which is a type of coding specifically for grounded theory. Result of data analysis is the achievement of five categories and a core category. The categories are: Religious dissonance and marginalized identity, bureaucratic rejection, bureaucratic removal of Balouch identity, the role of negative media representation in building marginal identity, undesirable location, the role of geography in the construction of marginalized identity, legitimacy of marginalization, and the role of law in the construction of marginalized identity. The core category is marginalized identity: the construction of marginalized social identity. Findings show that the context and sources, e.g. the religious situation of the Balouch, the ethnic and religious gap in the province, the undesirable geographical location, along with religion as the basis of politics, ethnic discrimination, administrative and managerial reversal, negative media representations, legitimacy legislation, living in the border, distance from the center, and the feeling of a lack of fair distribution of facilities, create a marginalized identity among Balouch students.