Balaklava is set on the Wakefield River in an area dominated by traditional wheat and sheep farms. It sprang up as a stopping point between the Burra copper fields and Port Wakefield, but a grain merchant from Adelaide, Charles Fisher, soon turned the focus to agriculture. He built grain stores here before there was any sign of grain. This proved a canny move, as it lured farmers to the area. The town features old sandstone buildings and a 'silent cop', a curious keep-left sign in the middle of a roundabout.