Tongala is the last reported town of the rich dairy/fruit region of Victoria. Tongala a small town, and, through Nestle restructures has not shared in the wealth that created growth in the region for this town. That said the modern mural activities determine a good look at the place is in order.
The first Post Office in the area opened on 27 April 1878. In 1882 it was renamed Kanyapella and a new Tongala office opened to the south; this was renamed Tongala East in 1908 when a new Tongala office replaced the Tongala Railway Station office in the township
Dairy is the most significant industry in the town's economic structure that also includes food processing at a plant.