Historical significance of Dadu & its adjoining area (i.e.Sehwan, Johi & Mehar etc) has been chiefly for two reasons one that they forward the border between political domains of the rulers (of the state) of Sindh & Balouchistan. Second that Dadu has been along the route of caravans travelling along the Indus. Khudabad Village of District Dadu had remained the capital of Kalhora Dynasty as late as 1768 A.D. The popular trade system was “Hundhi” in the District. The source of income was agriculture & cattle.
After Independence, the people belonging to Hindu community migrated to India & their properties were given to Muslims who had come from India but after some time they mostly sold out the same properties given to them in satisfaction of their claims. Infact Dadu District developed after Independence.
The Indus Highway was also constructed after Independence. From 1991untill 14th December 2004, Dadu remained the largest District of Sindh province where after it was bifurcated and a new District Jamshoro was created on 13.12.2004. At present District Dadu comprises four talukas i.e. Dadu, Johi, Mehar & K.N.Shah.