There are two large sawmills in the area and the importance to the local community of the timber mills is celebrated on the June long weekend with the Jandowae Timbertown Festival, held biennially on even-numbered years. Jandowae also has an annual agricultural show held in late March. It features displays of beef cattle, showjumping and other equestrian events, produce displays and local arts and crafts.
The first European settlers in the area arrived in the 1860s with the first white child, Henry Bateman, born in 1866. The first school was established in 1877 with the enrolment of 13 children. The fertility of the soils saw the expansion of agriculture, industry and community with the introduction of churches, halls and banks.
The town's name derives from an Aboriginal word (Jindowie) meaning 'waterhole' and was first used by whites in a petition to the secretary of lands in 1862. It is said that, later, a man named John Dowaie (coincidentally!) established a rest area for travellers called John Dowaie Camp. This is thought to explain the adoption of the spelling 'Jondowaie', used by early settlers. When the railway arrived in 1914 the current spelling was adopted, allegedly to avoid confusion with Jondaryan.
Today the town has a new skate park facility for children, as well as facilities for tennis, bowls, golf, squash and swimming.
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