Situated by the River Elbe, Grabow is in the former East Germany, not far from the old border.

The centre has several impressive timber framed buildings dating from the early part of the 18th century but many more are expected to be restored over the next few years. There is a considerable amount of new housing being built in the area.

The first bakery in the town was founded in 1835 and confectionery has replaced brewing as the main product of the area. The company was converted to public ownership in 1951 and produced mainly marshmallows, which still form the main part of the production line. Later the company was taken over by Continental Bakeries. Products are sold under the trade name Grabower.