The local economy is based upon agriculture, especially the cultivation of peaches and olives, both of which have Protected Designation of Origin status: Melocotón de Calanda in the case of the peach production and Aceite del Bajo Aragón for the olive oil.

The relief of the municipality is formed by the foothills of the Iberian System, to which belong the Mountain range of Peñas Blancas (669 m) and the Ginebrosa mountain range (835 m), both located to the south and southeast and separated by the Calanda reservoir.

Also noteworthy is the leafy pine forest of the Calanda Desert, located to the northwest of the town.

The altitude ranges between 835 m (Sierra de la Ginebrosa) and 380 m on the banks of the Guadalope River.

The city has higher average annual temperatures due to its lower altitude compared to other areas in the province of Teruel, which have lower temperatures due to their higher altitude.