Founding and Early Mentions. The history of Capiatá dates back to the early colonial period of Paraguay. The first mentions of "Villa de Capiatá" in the National Archives of Asunción date back to the early 1600s. Originally, the settlement emerged as a collection of farmsteads (chacras) that supplied food to the capital, Asunción. The city grew and took shape around a small chapel dedicated to the Virgin of Candelaria, whose feast day, February 2, is considered the city's foundation day.
Exact data on the city's founder vary, and historians mention several figures from that era as potential founders, including Martín Ledesma de Valderrama, Pedro Lugo de Navarra, Gregorio de Hinestrosa, and Martín de Barúa, who is mentioned as a founder in 1728.
Key Factors of Establishment. Several important factors contributed to the development of Capiatá. Firstly, its strategic location near Asunción made it an important agricultural and logistics hub. Secondly, the city was situated on the so-called "Franciscan Circuit," which connected settlements such as Itá, Areguá, and Itauguá. Although Capiatá was not founded directly by Franciscans, their cultural and religious influence defined the urban layout typical of colonial towns: a central square surrounded by the church and administrative buildings.
Early Cultural and Economic Characteristics. In its early period, Capiatá's economy was predominantly agrarian, based on farming and livestock to support the capital. The cultural and spiritual heart of the city became the Church of Nuestra Señora de la Candelaria—a gem of colonial Baroque, whose construction began around 1640. Its famous carved altar is believed to have been created by the Portuguese master José de Souza Cavadas, who also worked on the church in Yaguarón. The settlement officially received city status on May 20, 1878, and became a municipality in 1968.