A small hamlet 10km north of Margaret River on the Bussell Highway, Cowaramup is well known for being a producer of quality wines and cheeses, and is situated in the centre of the northern wine district. Traditionally a timber and dairy town, the first vines were planted at Cowaramup thirty years ago at Vasse Felix in what was to become a viticultural area of world renown, and is now the home of a regional wine centre at which many of the local wines are available. Much of the vineyard development is west of the town along Caves Road, but new vineyards are popping up like mushrooms all around Cowaramup.
Margaret River once had a cheese and butter factory that closed many years ago, so Cowaramup took much satisfaction from a new cheese factory opening on its doorstep. A second one followed more recently.
A vibrant arts and crafts community exists in Cowaramup, represented by several quaint shops and galleries in town. Fine wood crafts, pottery, paintings and sculptures are all available in the local galleries. Gourmet food, home-made fudge and honeycomb can also be found.
Cowaramup got its name from the cowara parrot, but it is known as Cowtown by the locals, an acknowledgement of its central place in the dairy industry.