The history of Panchmahals district revolves around the city of Champaner. It was established in 7th century (647) in the territory of King Vanraj of Solanki dynasty. In the 13th century, Chauhans acquired the city from Muslim rulers under Alauddin Khilji. Their rule continued until 1484, when Sultan Mohammad Begda of Gujarat captured the city. Thereafter Godhra became center of the district under the Mughal Empire (1575 to 1727).
Panchmahal were conquered from the Mughal Empire by the Maratha general Sindhia in the 18th century. In the course of time, Sindhia dynasty became Maharajas of Gwalior and, after 1818, were forced to recognize British sovereignty. The Panch Mahals were transferred in 1861 by the Sindhias to British India, where they became a district in the Gujarat Division of Bombay Province. The British district consisted of two parts, the "western mahals" and the "eastern mahals," which were divided by the territories of Baria (Devgadh) and Sanjeli states. The western portion was for the most part a level plain of rich soil; while the eastern portion, although it comprised few fertile valleys, was generally rugged, undulating and barren, with little cultivation. The area of the British district was 1606 sq. mi., and the population was 261,020 in 1901. The administrative headquarters were at Godhra with a population (1901) of 20,915. The ruins of Champaner, the former capital of a Hindu kingdom and later of the Sultans of Gujarat, was included in the district. It was the only district of Bombay presidency that is administered on the non-regulation system, the Collector being also the agent to the Governor General of India (Political Agent) for Rewa Kantha Agency.
The mineral products comprised sandstone, granite and other kinds of building stone. Mining for manganese on a large scale was begun by a European firm. The principal crops were maize, millets, rice, pulse and oilseeds; there were manufactures of lac bracelets and lacquered toys;
