Caapucú, on the PY01 heading to Misiones, preserves colonial homes with verandas and tile roofs, plus the Casa Stewart, a European-style rarity next to the church, built by a family of British origin and home to Major Wilfrido Stewart, a Chaco War veteran. Thirteen kilometers along the highway, the Casa-Museo-Oratorio Cabañas, a colonial estancia (ranch) house, holds historic objects and relics. To the south, Punta Arena offers white-sand beaches on the Tebicuary River, and much of the district is wetland with a long ranching tradition. It's a good place to stretch your legs on the way to southern Paraguay.

It was founded in 1787 by Governor Pedro Melo de Portugal; its anniversary is celebrated on August 15. Its economy has historically rested on cattle ranching, now joined by rice farming. Its patron saint is the Virgen del Rosario, honored on October 7 with Mass, bullfights, horse races and a community dance.