Its inhabitants exceed 20,000. The district of Cuença is subdivided into two departments, _Cuença_, and _Alausi_; the former including ten villages, and the latter, which borders on Riobamba, has four. They produce sugar, cattle, cotton, and grain, and a great quantity of cloth is manufactured in them. The mines in this country are very numerous, but from want of capital, and other causes, are not worked. This district is famed for the many remains of Peruvian architecture it contains, the ruins of the Fort of Cannar before mentioned, being near the village of Atun-cannar, or Great Cannar, which village is also noted for its corn fields, affording very rich harvests. The unfortunate inhabitants of the district were inhumanly massacred by Atabalipa, on account of their siding with his brother Huascar; and it is stated, that he caused 60,000 to be slain after the victory he gained over that monarch. The climate of the city of Cuença is mild, the cold being little felt, and the heat very moderate. It is subject, however, to dreadful storms of rain, thunder and lightning, and in the department of Alausi, to earthquakes; the whole of that part of the district being full of chasms and crevices, caused by these events. In this part the air is also cold, on account of the neighbourhood of the snowy mountains. _Alausi_, the chief place of the second department, is an inconsiderable town, containing a few Spaniards of rank, mestizoes and Indians, with a good parish church, and a Franciscan convent, in 2° 12ʹ north latitude, and 78° 39ʹ west longitude. The last jurisdiction of Quito on the south, which is not a separate province, is LOJA, or LOXA the chief town of which has the same appellation, and was founded in 1540, by Alonzo de Mercadillo, resembling in extent, form and manner of building, the city of Cuença, but the climate is much hotter. In Loja are two churches, several convents, a nunnery, an hospital, and an ancient college of the Jesuits; its population is about 10,000 souls, who are an industrious people, governed by an officer of high rank, having some peculiar titles and privileges. In this district are fourteen villages, and it is famous for producing great quantities of the best quinquina, or cinchona, so well known as a medicine; the forests of Loxa contain three kinds of this substance. The trees which produce this bark are not of the largest size, the usual height being about fifteen feet; the largest branches do not always yield the best; and in order to collect the bark, the Indians cut down the trees, then strip them and dry the rind in the sun, after which it is packed for exportation. Cochineal of an extreme good quality is bred in this country, but so little care is taken, that enough is only produced to serve the dyers of Cuença. Numerous droves of cattle and mules are sent from this district to Peru and Quito; and the manufacture of carpets, in which the cochineal dye is used, is very considerable.