Located almost exactly halfway along the Garden Route, Knysna is the geographical heart of the region. Fed by the Knysna River, the 18 km² Knysna Estuary is home to at least 200 species of fish and opens into the ocean between two towering sandstone cliffs known as The Heads. A rich history, world-class golf courses, gourmet restaurants, boutique vineyards, markets, farm visits and a variety of art and craft rambles, retreats and spas add to the choice of entertainment. This municipality is one of the smallest municipalities of the seven that makes up the district, accounting for only 5% of its geographical area. The main economic sectors are wholesale and retail trade, catering and accommodation, finance, insurance, real estate and business.
Knysna has a rich history of boat building and related maritime services with a number of recognised yacht manufacturers, smaller boat builders, refurbishers, service and related suppliers. Against the backdrop of the Western Cape Maritime Cluster (which aims to strengthen and develop the maritime industrial sector), several industry development initiatives are in process with a positive growth outlook and resulting investment opportunities.