ARAUCANIA, the name of a large territory of Chile, South America, south of the Bio-bio river, belonging to the Arau canian Indians at the time of their inde pendence of Spanish and Chilean author ity. The loss of their political independ ence has been followed by that of the greater part of their territory, which has been divided up into the Chilean prov inces of Arauco, Bio-bio, Malleco and Cautin, and the Indians, much reduced in number now live in the wooded recesses of the three provinces last named.