Protestant ancestry. Kiama was one of the birthplaces of the Australian dairy industry with the first Dairy Factory (The Kiama Pioneer Factory) and first Dairy Co-operative in Australia. There were three original major land grants, Thomas Surfleet Kendall (son of lapsed missionary Reverend Thomas Kendall), Michael Hindmarsh and Thomas Chapman, all of which married sisters of the Rutter family. The Kendalls were cousins of Henry Kendall, the famous Australian poet. The Kendall name is remembered today in several places such as the spooky Kendall Cemetery in Kiama Heights and Kendalls Beach. The Hindmarshs are remembered in Kiama's main park, Hindmarsh Park, and after 10 generations still live on their original land.
Kiama's next real population boom was powered by its quarries. Many Irish Catholics worked in the Kiama quarries. The basalt formed by two volcanic eruptions 240 million years and 66 million years ago was a valuable commodity for a growing colony, with the blue metal used to pave Sydney's roads and as ballast for its railways. It was very similar to the basalt found in Northern Island, where the Giant's Causeway is a famous example. There are still active quarries in the Kiama area, including the N.S.W. Railway Quarry, and the remnants of earlier quarries are easily visible throughout the town and often have facilities built inside them such as the Kiama Leisure Centre. One particular quarry, the Bombo Headland, is of scientific importance as it is the site of the discovery (in 1926) of the longest known geomagnetic polarity interval called the Kiaman Reverse Superchron.
When Kiama Harbour was hollowed out, after 17 years hard work, and flooded in 1876, larger steamers such as from the Illawarra Steam Navigation Company could enter and a flourishing sea trade followed. The Kiama Pilot's Cottage was finished in 1881 and the Kiama Lighthouse in 1887. Kiama really hit its boom time in this period, from 1890 until the Great Depression in 1927,
