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The word pareo has been used generically to mean any wrap, which holds true for other similar words such as sarong. A pareo did not evolve from a sarong or vice versa.

The Tahitian pareo are among the most colorful and bright ones of the Pacific. Originally it was used only to refer to women's skirts, as men wore a loincloth, called a maro. Nowadays the term is applied to any piece of cloth worn wrapped around the body, worn by males or females.