The wharf was established in 1877 after local agitation. Although Paterson was the Hunter Region’s third town site to be surveyed (in 1833 after Newcastle and Maitland), it was not proclaimed as a town until 1885. The town became an important trading post for boats from Newcastle and Morpeth, and a market centre for farmers north of the town to bring produce.
The Paterson Steamship Company was formed to facilitate this. Paterson developed rapidly, due to its importance as a port. Produce was transported from the fertile Paterson Valley to Newcastle mostly in the form of citrus fruits, tobacco, grains, grapes and wine.