Later many attempts were made by the rulers of Gujarat to oust the Portuguese from the Fort of Diu. But their attempts never did succeed. The Treaty of 1543 finally confirmed the termination of Diu to the Portuguese. Dom Joao de Castro reconstructed the fortress of Diu after the siege. The Portuguese annexed Salcete and Bardez Talukas and the coastal areas, north of Bombay and the pockets of Daman and Diu by the middle of 16th century. In 1670, a band of Arabs of Muscat plundered the fortress. The other most important event that occurred in the history of Daman and Diu is the 'Operation Vijay', which happened before the midnight of December 16, 1961, ending the colonial rule.
Thus, Danman, Diu, and Goa became one political unit after liberation from the erstwhile Portuguese regime in 1961. It was in 1987, when Goa became a full-fledged state, that Daman and Diu was separated from Goa. Thereafter Daman & Diu became a separate Union Territory with effect from 31/05/1987. Daman is situated at about 12 km. from Vapi railway station and Diu is located at the southern most tip of Saurashtra near Veraval. Diu is about 760 km. away from Daman.