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The city of Portland is the oldest European settlement in what is now the state of Victoria, Australia. It is the main urban centre of the Shire of Glenelg. It is located on Portland Bay.

The bay was named in 1800 by the British navigator James Grant, who sailed in the Lady Nelson along the Victorian coast. "I also distinguished the Bay by the name of Portland Bay, in honour of His Grace the Duke of Portland," wrote Grant. The bay, the only deep sea port between Adelaide and Melbourne, offers a sheltered anchorage against the often wild weather of Bass Strait.

By the early 1800s, whalers and sealers were working the treacherous waters of Bass Stait and Portland Bay provided good shelter and fresh water which enabled them to establish the first white settlement in the area. Whaling captain William Dutton is known to have been resident in the Portland Bay area when the Henty clan arrived and is said to have provided seed potatoes for the Henty garden.

In 1834 Edward Henty and his family, who had migrated from England to Western Australia in 1829, then moved to Van Diemen's Land, ferried some of their stock across the Strait in search of the fine grazing land of the Western District.

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