Franca do Campo (200) or Ribeira Grande (200). In 1522 (April 11) Lagoa, the village, became the municipal seat of the municipality, at a time when the population hovered around 1000 people and 300 homes. At the time, it was considered one of the more productive agricultural areas of the island, responsible for wheat, wine and woad production. Its port was the important regional point of entry and exit for many of its products, in addition to fishing center. The communities prosperity extended into the 19th century, when the village was the center of a flourishing ceramic industry and distillation of alcohol and spirits. By the 20th century these industries were supplemented by factories for the production of vegetable oil, soap and animal feeds, at a time when agricultural production and the fishery was also dominant. At the end of the 20th century, the tertiary sector had taken on a significant part of the areas economy (58.2% of the population was active in these activities), while the number of new companies involved in the sector grew (17.2%, between 2001 and 2004). Geography Physical geography The municipality is located on the southern coast of São Miguel, and nestled between the three larger municipalities of Ponta Delgada (to the west), Ribeira Grande (in the north) and Vila Franca do Campo (on the eastern frontier); its municipal seat is approximately nine kilometers from the principal city on the island (Ponta Delgada). It was created on April 11, 1522 by royal decree from King D. João III, and although the municipal seat was temporarily assigned to Água de Pau, it is currently occupied by the urbanized core of Nossa Senhora do Rosário and Santa Cruz. Its small territory is relatively rich in biodiversity, influenced by its differentiated environmental characteristics between the Fogo volcano (the Serra de Água de Pau) and the volcanic complex of Picos. Most of this space is occupied by pasturelands, cultivated tracts and, along the coast, an urbanized core. The cryptomeria, acacia and eucalyptus are just some of the variety of trees that populate the forests in the interior, while along the southern flank of Fogo, there are many endemic species of Erica azorica, Calluna vulgaris, the cedro-do-mato (Juniperus oxicedrus) the pau branco (Picconia azorica). Ecoregions & protected areas Ponta da Galera – with an area of 220 ha (195 ha coast), the 7180 meter long coastal habitat has been designated