Do you know the story of Arraial do Ouro? The jewel of the European Valley in southern Brazil? Then get ready to be surprised.
The name Arraial do Ouro comes from the gold mining that once took place in the region, specifically from the nuggets found in the local streams. The discovery of gold attracted many outsiders, who arrived with their wagons loaded with supplies and tools to extract the precious metal.
It was a period of great activity, generating a kind of “gold rush” in the region, probably before the 19th century.
The word “Arraial” means village or settlement, and “Ouro” refers to the gold that was found in the region.
The search for gold in the Arraial stream and other creeks in the region is a very old practice. This activity was interrupted and resumed several times until the Brazilian government prohibited the extraction to protect nature.
Although many families attempted to settle in Arraial do Ouro, they eventually left because of the hardships and moved to other regions.
But in 1824, something happened. German immigration began. The Brazilian government, under Dom Pedro I, encouraged the arrival of European immigrants to colonize the south of the country, a region in need of settlement and development. The cost of travel, land, and tax exemptions were offered to attract colonists.
The idea was to attract European labor to replace slave labor in some areas and to secure the occupation of the borders.
In the 19th century, as Brazil encouraged European colonization, many Germans sought stability and new opportunities abroad. Germany was not yet unified—until 1871 it consisted of numerous independent kingdoms and states, creating political fragmentation and uncertainty. In several regions, poverty and economic hardship were significant.
Poor harvests during the agricultural crisis of the 1840s, rapid population growth, and the profound changes brought by the Industrial Revolution intensified food insecurity. Political tensions surrounding the Revolutions of 1848 further deepened instability.
Facing limited prospects at home, thousands of families crossed the Atlantic, bringing with them their language, traditions, faith, and community values—heritage that would later shape southern Brazil’s cultural identity and continues to inspire visitors today.
The first group of German immigrants arrived in 1829 in Desterro, now Florianópolis. The saga had begun. From there they went to the first German colony in Santa Catarina, called São Pedro de Alcântara.
This group, composed of about 523 colonists from Hunsrück, Germany, and some Luxembourgish families, was part of a project by the Brazilian imperial government to populate and economically develop southern Brazil. There was the embryo of Arraial do Ouro.
After the arrival of the first German immigrants, and others from different countries as well, colonization began. Many other ships came bringing new immigrants with many dreams and hopes. They spread out to the locations where the government offered land.
Approximately 300,000 German immigrants arrived in southern Brazil during the colonization period and found in Santa Catarina a place to rebuild their lives. Through hard work and a strong sense of community, they helped transform the state into one of the most prosperous and safest regions in the country. This legacy remains alive in the European Valley, home to Arraial do Ouro — a destination that brings together tradition, history, culture and preserved nature.
However, despite the profound impact of German immigration on southern Brazil, many promises made during the imperial period disappeared upon arrival. The dream of fertile land and dignified living conditions gave way to dense forests, fragile shelters, isolation, and relentless physical labor.
Families who crossed the Atlantic with hope in their hearts faced hardship and uncertainty in what is now the European Valley in Southern Brazil. Survival demanded resilience, faith, and extraordinary determination — yet nothing could stop them.
From adversity emerged thriving communities and a lasting cultural legacy. Today, that history lives on in the European Valley, a region of preserved forest and green valleys. In Arraial do Ouro, visitors can still feel the strength of those pioneers — in one of the safest and most welcoming regions of Brazil, where heritage and nature exist in harmony.
Many immigrants moved on to other colonies such as Blumenau, Pomerode, Timbó and Gaspar, in what we now call the European Valley. The first settlers arrived in Arraial do Ouro nearly fifty years after the initial waves of immigration, around 1890. Where rice paddies stretch today, there was once dense forest and narrow paths where a horse-drawn cart could barely pass.
With no bridges, crossing streams was a constant challenge. The land was swampy and difficult to cultivate, which led many families to seek better conditions in nearby settlements.
They had hoped to be small landowners, but often ended up working in conditions akin to slavery on large farms, mainly on coffee plantations. Furthermore, the local culture, climate, and food were very different from what they were used to.
It was a time when timber and gold mining took place without the control of the authorities. Much timber was extracted where there are now pastures and rice paddies. Agriculture catered to local consumption and subsistence, and little flour and coffee were traded.
Around 1850, Nicolau Werner, known as Nicolau The Bearded, acquired a large tract of land on both banks of the river, bordering the lands of José Agostinho dos Santos. His neighbors to the east were the Souza family and to the west, the German Andreas Boettger.
Nicolau Werner came from the German colony of São Pedro de Alcântara and lived until his death on the lands of the Right Bank in Arraial do Ouro. His sons, Pedro and José, occupied the property on the Left Bank. Pedro, a wealthy farmer, lived near the entrance to Morro Grande (present-day Elói Anastácio da Silva). He produced a lot of sugar, cachaça (Brazilian rum), and flour. He was a wood carver of timber used for the construction of ranches, bridges, and half-timbered house frames.
Originating from the region of Biguaçú, Angelina, and São Pedro de Alcântara, the descendants of Germans who came to live in Arraial do Ouro brought with them courage, hope, strength, and determination, and nothing could stop them from building a better life.
Many German families arrived, among them: the Sabel, Pitz, Junkes, Werner, Bauler families, and others. In the The lowlands of Arraial do Ouro, some had mills for flour, sugar, and cachaça (a type of Brazilian rum), and especially a water-powered sawmill, employing people who lived in the region.
Between 1928 and 1932, Leo Sabel and Martinho Nifa de Oliveira established the first rice paddies. They were located on the Sabel plain and on the plain adjacent to the entrance to Morro Grande.
In August 1844, 109 colonists from Belgium arrived in São Pedro de Alcântara and later went to “Ilhota”. However, due to land disputes and lack of property titles, some Belgians went to other places near Arraial do Ouro.
Around the same time, many tried to stay in The highlands of Arraial do Ouro, but gave up due to the harsh conditions. However, in 1890, other families from Biguaçú and São Pedro de Alcântara, discouraged by the frosts and soil erosion, moved to The highlands of Arraial.
Roberto Schmitz, married to Apolônia Schmitt, acquired five plots of land from Mathias Spengler and two from Helmuth Gebien, among others. They were likely the first residents of the highlands of Arraial do Ouro, where they began preparing a home for his family.
After building a large house with an attic, he set out to bring his family to their new home. The journey lasted 10 long days. The livestock moved slowly along the narrow paths, the children and their few belongings were carried in an ox cart, and the adults rode on horseback through dense forest and uneven terrain. It was not merely a relocation — it was a passage into a new life, marked by endurance, hope, and determination.
The choice seemed right. This fact motivated the arrival of other friendly and related families from the colony, who came to settle there and named this place Arraial Alto (or Upper Arraial).
Other families came, excited about the new place. Among them were the families: Schmitz, Schmitt, Jansem, Stein, Oechsler, Zimmermann, Gesser, Ulrich, Krause, Junkes, Theiss, Knoth, and Tillmann.
Around 1920, a small wooden chapel was built on Roberto Schmitz’s land in Arraial do Ouro. Designed in a simple chalet style, with a glass window and a cross planted during earlier religious missions, it was constructed through the joint efforts of Felipe Lanzer, José Junkes, Roberto Schmitz, Willy Waldrich, José Knot, and other settlers. More than a place of worship, the chapel became a symbol of faith, unity, and cultural identity — a lasting expression of the German immigrant heritage.
Behind the chapel, the cemetery was built. Years later, this chapel was replaced by another, in a more accessible location. These new owners were known as “Biguan Germans” because they had German culture and came from Biguaçu. They were simple people, with a strong cooperative spirit and friendship.
They were cheerful people with an extraordinary ability to overcome hardship. Fervent Catholics, deeply hardworking, and confident in the promise of a better future, they built their lives through perseverance and faith. Nearly everything they consumed was produced by their own hands. Sugar, cachaça — Brazil’s traditional sugarcane spirit — and flour formed the economic foundation of the community, sustaining both families and local trade.
They were the pioneers—German immigrants—who left behind everything they knew and faced a hard, often almost unbearable life. In the dense forest, in the mud, in the rain, over endless distances, they built their dreams wood by wood, day after day.
And, on this path of sacrifice, they shaped what we are today. The personality of our people was forged in adversity.
From those calloused hands were born the honesty, bravery, unity, and faith that still live in every family of Arraial do Ouro.
The first settlers who established themselves in the village, despite the hardships they faced, were people of great strength and immense love and dedication to the land.
A settler, to pay for his land, would work for twenty years, tilling the hillsides or manually felling the heavy native timbers.
The history of Arraial do Ouro is the story of men and women who, even with almost nothing in their hands, carried everything in their hearts: faith, courage, friendship, and a love for the land so profound that it spanned generations.
Perhaps now you understand why the people of Arraial do Ouro are so resilient and hardworking. It is part of who we are — shaped by generations who faced adversity with faith and determination. Willpower, courage, and perseverance are not just qualities of the past; they remain our hallmark, woven into the identity and spirit of our community.
To truly understand the story of Arraial do Ouro, one must walk its quiet paths, breathe its fresh countryside air, and listen to the echoes of the families who built it. For visitors, it is more than a destination — it is a journey into shared heritage, resilience, and preserved traditions, set within the natural beauty of the European Valley. Come and discover a place where history is still alive and where you may feel unexpectedly at home.
