The Chocolate Waterfall is the centerpiece of the Chocolate Room and is how the chocolate is stirred before it is made into Wonka Bars.
2005 film
Willy Wonka shows the tour group the Chocolate Waterfall, and explains how it mixes his chocolate so it's light and frothy. He also says that the fall is unique to his factory and that no other chocolate factory in the world has a chocolate waterfall. Augustus Gloop ends up falling into the river that stems from the falls, and is sucked up into a pipe and taken to the Fudge Room.
The Game
The chocolate fall is blocked by Augustus Gloop and Charlie must go to the waterfall tower to get him out. Charlie goes in and up the big steps and comes by a cherry-go-round. After the cherry-go-round, the elevator comes up to charlie and brings an Oompa Loompa to fix the chocolate fall. He fixes the chocolate fall and the chocolate begins flowing again and three Oompa Loompas try to pull Augustus out of the river.