The principal silver mines were discovered in 1630, by an Indian shepherd, and though very badly wrought, they annually furnish near $2,500,000. These mines are usually called Pareo, and Cerro de Bombon. Humbolt calculates the produce of gold and silver at $6,000,000 annually. To this sum must be added the fraudulent exportation of silver, or what is denominated unregistered produce, on which no duty has been paid—this is estimated at $940,000.

Mercury is found is abundance in Peru, which is not the case in any other part of Spanish America. The other minerals are numerous. There are many obstacles, however, to successful mining in Peru. One great difficulty is the ignorance of the miners in the science of amalgamation. Another is the want of capital; the operator being in most cases, in necessitous circumstances, is obliged to borrow money on very exorbitant interest to enable him to commence his works, and to sell the produce of his mines at a great sacrifice, in order to carry them on. The labor of the mines is principally performed by the Indians, as they only are able to endure the fatigue and unwholesomeness of the employment.

The commerce of Peru consists for the most part in the interchange of the precious metals for foreign products, and manufactures; of which considerable quantities are imported. There is a great want of good roads and bridges in Peru; and in the little intercourse between the seaports and the interior of the country, almost every article of trade is carried on the backs of mules and lamas. The ancient Peruvians were partially civilized; they constructed numerous and excellent roads, and also built stone palaces of enormous size; were skilled in making vessels of gold and silver, and cultivated the land with much care.

At the time of the Spanish conquest, Peru comprised a territory of much greater dimensions, than the modern state of the same name. Its kings were a dynasty of princes, called Incas; they were supposed to be descended from the sun, and were held sacred and adored by the people. At the time Pizarro took possession of this country, the reigning Incas were put to death, and the dominion of the Spanish sovereign established. This occurred forty years after the discovery of America.

Peru with the other American provinces of Spain was long governed by Viceroys, appointed by the kings of that country; but in the year 1821, the people established a government of their own, and with the assistance of the Colombians achieved their independence in 1824, by the defeat of the last Spanish army at Ayachuco.

In the year 1836, Peru was divided into the states of North Peru, and South Peru, which with Bolivia, were formed in the Peru-Bolivian confederation, under a chief magistrate styled the Supreme Protector. Three years afterwards, the army of the confederation was defeated by the Chilians, at Uraguay, and the Republic was dissolved.

The Peruvians like the other people of South America, are composed of various races; the most numerous being the Creoles of European descent, and the Indians. There are many tribes of the Indians; they are much debased, and seldom cheerful. The Carapachas are exceedingly beautiful, and are said even to rival the Circassians; but their speech is very offensive, resembling the barking of dogs, owing to the guttural sounds. The women of some tribes are warlike. The Omagna tribe flatten the head, like some of the North American Indians. The Indians occupy the same place in society as in Mexico. They are idle, filthy, superstitious, and suspicious. Their dress and habitations are mean and poor; their capacities are very limited, and they have little variety of character. They are governed by native chiefs or caciques.

The gentlemen of Peru imitate the English fashion of dress, and the ladies also, except in a peculiar walking dress, composed of a close petticoat of satin, &c., with a short cloak of silk drawn around the waist, and over the breast and head, half concealing the face. This dress is peculiar to Lima; the petticoat is elastic, and sets close enough to reveal the form. The hood, or manto, is probably a Moorish remnant. The dwellings of the Indians are mere huts, and generally architecture is in a much lower state than in Mexico. The roofs are flat, and the walls are often of wattled cane, plastered. The languages are the Spanish, and those of the Indians. The food does not essentially differ from that in the other South American States; and tobacco is very extensively used. There is little veal or lamb, and many sweetmeats are consumed. A fermented liquor, called chicha is made of maize, and used to considerable extent. The diseases are not peculiar. To travel in Peru, is a severe hardship and privation; the mule is much used. This animal is invaluable from its cautious instinct in passing the defiles or sides of the mountains, where a misstep would cast them to a measureless distance below. In many places where they cannot step, they protrude their feet, and slide downwards, directing their course with the utmost sagacity. It is not safe for the rider to assume any guidance over them, when he is riding with one leg over a precipice, while the other rubs against the side of the mountain.

The hospitality of the Peruvians has no limits, and like the others of European descent in South America, they are distinguished for their paternal and filial virtues. The Creole ladies are good mothers, and wives, and almost every family is a happy circle. Dancing, music, tertulias, bull-fights, and cock-fighting are the common amusements. The negro slaves receive kind treatment, and are instructed in the christian religion. It is common to see the white children thus instructing those of a household. Education is little attended to, but more than under the old government. The ruling religion is the Roman Catholic.