[1] The Ceres area was first settled by squatters in the late 1830s, and the lots of the Barrabool Parish were advertised in 1839, with the land being sold on 5 February 1840.

There was reportedly "plenty of competition" for the Barrabool Hills lands, and the area became part of "Roslin", owned by David Fisher.

The government had not provided for a settlement in the Barrabool Parish, and Fisher, after selling much of his estate in 1846, advertised a section of the remainder for sale as the new village of Ceres in March 1850.

The first business to open in Ceres was the Wheat Sheaf Inn in September 1850, which became a social centre for much of the Barrabool district.

[6] The Ceres Literary Association developed in 1855 and began construction of a mechanics' institute; the building was partially completed in 1859 when the organisation disbanded.

The Barrabool Inn operated until 1909, when its license lapsed and it became a private house; it was demolished in the twentieth century.

The town has grown since the beginning of the 21st century, although it remains a country atmosphere, including by keeping old gas lights along its main street (lit with electricity).

[14] Singer and songwriter, local Taylor Henderson, achieved fame after becoming runner-up in the 2013 season of The X Factor Australia.