Callao 's the largest and most important port in Peru. The city's coterminous with the Constitutional Province of Callao, the only province of the Callao Region. Callao's located west of Lima, the country's capital, and's part of the Lima Metropolitan Area, a large metropolis that concentrates almost one-third of Peru's population. Callao borders Lima Province on the north, east and south, and the Pacific Ocean on the west. History Callao (pronounce as Kah.ya.oh)was founded in 1537, just two ye… (More on Callao)