The Guaraní people have inhabited Paraguay since before the advent of European settlers in the 16th century. At this time, Paraguay formed a part of the Spanish Kingdom. The colony of Asunción was set up on August 15, 1537, by Juan de Salazar de Espinosa, the famous Spanish voyager. The city gradually became the hub for a Spanish regal district and a major location of the Jesuit undertakings and establishments in South America in the 18th century. Paraguay achieved independence from Spain on May 15, 1811.
Paraguay features a market economy characterized by a huge informal sector, with re-export of imported consumer products to nearby nations and the operations of thousands of city street vendors and micro-enterprises. Manufacturing make a significant contribution to the national economy. The industrial sector represents around 25% of gross domestic product (GDP) of Paraguay and hires approximately 31% of the workforce. Major industries include cement, sugar, beverages, textiles, steel, wood products, and electric power. Paraguay exports feed, soybeans, meat, cotton, electricity, edible oils, leather, and wood. It imports vehicles and components, tobacco, consumer goods, electrical machinery, petroleum products, chemicals, tractors, and metals.
