During the 8^th and 13^th century Daman and Diu was under a stronghold of the Chowda Rajputs.  After which for 200 years the territory was ruled by the Muslim Emperors. Entering the 16^th century marked the arriving of Portuguese in Goa which ruled this beautiful state and the surrounding area for over 450 years.

The Sultan of Gujarat, Bahadur Shah entered into a defensive alliance with the Portuguese on being attacked by the Mughal Emperor Humayun. It was during this alliance he allowed Portuguese to construct a fortress on the island and maintain a garrison there.  After several attempts made by the rulers of Gujarat to overthrow Portuguese from the Fort of Diu but could not succeed. In the end the Treaty of 1543 the cessation of Diu to the Portuguese was finally confirmed. Later the different land blocks of the west coast of India, Diu, Daman and Goa together formed one political unit after being released from the Portuguese regime in 1961. Post Goa becoming a state, it was Daman and Diu that received the status of Union territory in 1978.