This municipality is bordered by Guacari and Ginebra to the North, by Chaparral in the Department of Tolima on the East, Palmira to the south and by Vijes to the West.

Sebastián de Belalcázar and his troops conquered this territory, that was populated by Native Pijaos, whounder the command of cacique Calarcá were submitted by the Europeans.

The Cabildo of Cali created Pantanillo county with jurisdiction between the rivers Las Guabas and Nima, and in 1821 it was transferred to the Canton of Buga, then it was finally moved to the land that was donated by ladies Petrona and Sebastiana Cárdenas.

Its main economic activities are cattle breeding (especially the processing of leather) and agriculture (grapes, sugar cane, corn, soybeans, rice, millet, beans, peppers and tropical flowers like orchids).

Special mention also deserve the furniture manufacturing -especially in wood-, fruit crops and the promotion of tourism in hotels and restaurants in the mainly rural area.

A road system connects El Cerrito with neighboring towns: Buga, Rozo (Palmira) and Costa Rica (Ginebra).

It is a Government's project that includes the expansion of roads, legal and economic incentives for the development of tourism in the municipalities of Guacara, Ginebra, El Cerrito and Palmira.