Formerly sitting at the confluence of the Clutha and Kawarua rivers, Cromwell was originally know as The Junction. Gold was found at the river junction in 1862. This brought several thousand miners to the area. As the gold rush dried up, the area became a centre for pastoral farming and fruit growing. A large sculpture of a stone fruit can be seen just outside the northern part of the town.
In 1992, Clyde Dam was completed and the valley behind it which held the old town was flooded. This created Lake Dunstan. In preparation for the flooding, much of the town was moved to higher ground. Many buildings which could not be moved were rebuilt. This area is known as Old Cromwell Town and is home to period-style markets which are held at various times throughout the year.
Visitors to Old Cromwell Town can view buildings characteristic to the town's gold mining past. The town centre is home to a wharf where tours of Lake Dunston depart from. Several buildings which escaped the flooding of the valley still stand near the shore of the Kawarua River.
Cromwell has a strong fruit growing industry as well as many wineries. It is home to approximately 2700 people and is know as the "Fruit Bowl" of New Zealand's South.
