Minnesota State Highway 127 is a short connector highway in west-central Minnesota, which runs from its interchange with Interstate 94 in Orange Township and continues north to its northern terminus at its intersection with State Highway 27 in Osakis.

Highway 127 is 2.5 miles (4.0 km) in length and passes through Orange Township, Osakis Township, and the city of Osakis.

Highway 127 serves as a short north–south connector route between Interstate 94 and State Highway 27 at Osakis.

Highway 127 was added to the state highway system in 1967 when I-94 was completed. I-94 replaced old U.S. Highway 52 in west-central Minnesota. U.S. 52 had previously ran through Osakis in this area. 127 was added to connect Osakis with the interstate.

127 had been paved prior to it becoming a state highway. The route is a part of Minnesota Constitutional Route 3 from St. Cloud to Alexandria, continuing southward from its junction at I-94 as County 3, and west of the former U.S. 52 as State Highway 27 to Alexandria. Present day Highway 127 was not part of old U.S. 52 between St. Cloud and Alexandria. State Highway 127 is numbered as a spur of State Highway 27.

The entire route is in Douglas County.