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Mandvi was established by Rao Khengarji in 1580, But even before Mandvi recognaised the “Maddi” was famous for salve trade. Slaves from Africa brought to Maddai by Parisian. Mandvi was at the junction of two famous trade routes the maritime spice trade-route and the desert camel caravan route. In 18th century Mandvi was a major port of entry for the inland trade with Malwa, Marwar and Sindh. In 1780, the biggest ship Britanica was builded at Mandvi. From 1780 passanger ferry services started to Malabar (Now known as Mumbai)
The center of attractions at Mandvi is the Vijay Vilas Palace, a Royal abode set in the middle of well-laid gardens with water channels and marble fountains. The architect and craftsmen from [[Jaipur]] designed and constructed the palace in [[1920]] AD. The palace has all the elements of [[Rajput]] architecture and draws largely on the plan of palaces of [[Orchha]] and [[Datia]]. The central high dome on the pillars, the [[Bengal]] domes on the sides, the windows with coloured glass, carved stone '[[jali]]s', domed bastions at the corners, extended porch and other exquisitely stone-carved elements, make the palace worth visiting. The Vijay Vilas Palace has its own private beach which offers air-conditioned tented accommodation. Being private with conditional access it is a must visit for all beach lovers who want to enjoy their solitude and admire its eco-friendly priestine beauty.For these reasons, this palace has been used as the setting in many [[Hindi]] films and has now become a popular tourist destination.
Vijay Vilas Palace was shown in Hindi film '''Lagaan''' as the headquarters of the United Kingdom.
The song ''''Chaand Chhupa Baadal Mein'''' from the Hindi film ''Hum Dil De Chuke Sanam''' was shot at the Vijay Vilas Palace of Mandvi.
Mandvi has one of the most beautiful beaches in Gujarat. The beach is about 20Kms long of which same parts are under possession of the royal family.
There are a number of wind turbine/windmills on the Mandvi beach, engaged in the generation of power from wind energy.
Mandvi is also a 400 year old ship building centre. The ships built here used to sail up to England and return back. Even today, master carpenters build fishing boats by traditional techniques.
The ''smarak''(monument) is located near Lohana Mahajan Wadi. Shyamji Krishna Verma was a scholar and freedom fighter. He established [[India House]] in Britain to support Indian student going UK for studying, eventually . Shyamji Krishna Verma was born in Mandvi. Population: 42 Thousand is the population as per 2001 census of mandvi Municipality.