Kalocsa was provided with the privileges of market-towns in 1405 by King Sigismund. During the Turkish occupation between 1541 and 1686 the town was almost completely devastated. The first returned archbishop, Imre Csáky established the economic conditions forming foundation of development. Archbishop Csáky and his successors established a printing house, a chemist's as well as several schools in the 18th century. Some really significant ecclesiastic constructions were going on. It was the era when the majority of the current public buildings were constructed. While intellectual life was developing in a remarkable degree - an observatory and further schools were founded with staffs comprised of scientists and professors having national and European reputation - the stage of development regarding economy was rather low compared to the era.

The first part of the 20th century was the period of stagnating as well. Following World War II Kalocsa shared the lot of the other Hungarian ecclesiastic centres, it was ignored in a significant degree. In the 1960s besides the already existing food processing factories some further light industrial companies were established the majority of which weathered the economic recession of the beginning of the 1990s. Despite the unfavourable economic changes, which occured after the political transformation, some remarkable improvements took place in terms of infrastructure. Gas, sewer system   were installed and a modern telephone exchange was created. Kalocsa became famous for three things during the past millennium. First as an archbishopric, then for the spice paprika having been grown since the beginning of the 18th century and for its folk art becoming well-known all over the world in the 20th century.

The Archbishopric was founded by King Saint Stephen in 1002. It was also called as the Archbishopric of Kalocsa-Bács from the 1080s to 1993 when its name was modified to the Archbishopric of Kalocsa-Kecskemét due to the Papal Bull. In the Middle Ages the archbishops of Kalocsa were often assigned to have royal, Lord Chancellor ranks and they were also charged with leading the military. Ugrin Csák devoted his life to his country at the battle near Muhi and so did Pál Tomori at the Mohács Battle. During the Turkish Occupation the Archbishopric virtually ceased to exist. Following that time the Archbishops were credited with other accomplishments than warfare: they supported culture, education and science. They established numerous schools and got several public buildings constructed.

The currently known folk art of Kalocsa applying natural floral ornaments started in the last third of the 19th century from the peasant art existing in the villages (former farms) split off Kalocsa in 1898. Its characteristic colours are due to the tradition of the beginning of 20th century. Its features can be discovered on the wood carvings, pots, wall-paintings ("pingálás") as well as textiles. Kalocsa and Kalocsa Sárköz were made world-famous by wall-painting ("pingálás") and embroidery.

The Kalocsa - Sárköz Region has been one of the most significant spice paprika growing regions of Hungary since the beginning of the 1700s. At first spice paprika was only grown for individual use but later it was also produced to supply national markets and since the beginning of the 20th century it has been exported too. The Red Pepper Researching and Analysing Chemical Institute of Kalocsa founded in 1917 (the successor of which is still operating nowadays) has been dealing with breeding new varieties as well as developing more modern production technologies. It was where the first mild (sweet) varieties were bred at the end of the 1920s and from where they started to become world-famous.