Agriculture represents about 2.5% of GDP with 3.7 million hectares. It is very broken up and occupies 40% of the country’s surface area. There are 324,000 farms with 20% specialized in mixed farming and 11% in wine growing. While agriculture and fishing still employ 13% of the working population, they only generate 3.6% of GDP now (25% in 1960). The economically strong sectors are Porto wine, cork (the world’s largest producer with 145,000 tons in 2005), processed tomatoes, fruit and vegetables, wine and olive oil, which has a production of roughly 382,000 hectolitres.

The fruit and vegetable productions amounted to €3.7 billion in 2005. The vegetable sector (€1.47 billion), as large as that of fruit, contributes 6% of total farming income. Other than potatoes (576,000 tons), two thirds of the farm production comes from cabbages (198,000 tons), tomatoes (99,000 tons), carrots, lettuces and sweet peppers. Two thirds of fruit production (€1.55 billion in total) is composed of apples, oranges and pears. Converted fruit and vegetables contribute 5% of the food processing industry income (€11 billion). The Ribatejo region is the largest for fruit and vegetable production (Rocha pear). The Algarve is the main citrus producing region with 72% of the national production (313,000 tons over 26,410 hectares). For dried fruit, the Tras-Os-Montes region in the north-east represents 80% of the total production.

The dairy products market is worth €1.2 billion (2005) and the volumes are increasing (956,000 tons). With roughly 300 companies, the dairy industry represents 4% of the food processing sector. Milk production (2 million tons) comes from cow’s milk (95%), ewe’s milk (4.7%) and goat’s milk (1.3%). It is mostly concentrated in the Entre Douro e Minho region (35%) and the Azores region (27%). The total cheese production comes to 56,000 tons with 76% based on cow’s milk. The ewe and goat’s cheeses respectively account for 22% and 1.5%. Yoghurt consumption has increased fourfold in ten years, going from 5 kg to 20.7 kg/year/inhabitant.

Portugal is a large consumer of aquatic products (57 kg/year/inhabitant including about 35 kg of cod and hake) ranked 3rd in the world after Japan and Iceland. However, local fishing is limited in relation to domestic demand and the country imports 80% of its requirements. The sector accounts for 1% of the national GDP. Fishing volumes rose to 223,652 tons in 2006, against 219,325 for the previous year and 209,051 tons in 2003 (5% of fish caught in EU-27, and ranked 12th among countries with a fishing industry). The catches are broken down between fresh (91%) and frozen (9%). They are composed of fresh seawater fish (87.5%), molluscs (11.7%) and shellfish (0.6%). The principal species fished are sardine, cod, scad, mackerel, rose-fish, scabbard-fish, monkfish, octopus, tuna, skate and hake. The small deep-sea fish account for 40% of the total haul. Conversion holds an important position with €900 million in turnover and 166,500 tons (39% frozen products, 35% salted/dried products mostly cod, 26% canned, especially tuna and sardines).

Unique and distinctive, Portuguese wines are very famous. The foremost is Porto or port wine, a sweet wine produced on the slate-rich hillsides of the Douro valley. The five main types of Porto are: - tawny port (blend of ruby and white port wine aged for two or three years maximum in oak casks), - tawny port with age label (blend of several port wines from different years, aged for 10 to 30 years, or even 40 years) - ruby port (young, fruity, aged for two years in the cask before bottling), - white port (less alcoholic, available as extra dry, dry or sweet), - vintage port (vintage from the best vineyards, two years in the cask, aged in the bottle, matured 20 years and over, long conservation wine, it must be registered with the port wine institute to be called vintage).

The gastronomy is rich and varied and due in part to the famous seafarer, Vasco de Gama, who brought back new flavours and varied products from his numerous voyages (spices, cereals, seeds, fruit, citrus fruit, etc.). Today, some great chefs like Vitor Sobral, Helio Loureiro and Joao Rodrigues are adding to its reputation. The shredded cabbage soup (caldo verde) is very popular in the country, along with snails (caracois). Salted and dried cod is the symbolic dish (bacalhau) for which there are 600 recipes. The other fish and seafood are eaten plain or cooked with an açorda (soup with bread, garlic and coriander). Grilled sardines are also very popular.

« Today, Portugal has shifted towards great gastronomy because of its wealth of products and the growing number of distinguished chefs ». Térésa Moura - (Director General of A.I.C.E.P.)

Bernardino Machado
(General Manager of Machado Mondexport – Rungis and Lyon)

« As specialists in Portuguese food products, we are present on the Rungis and Lyon Markets. We market all products intended for the Portuguese community (about 1.4 million Portuguese in France) and our flagship products are above all salted and dried cod, port wine, olive oil and Portuguese beers. Copious and healthy, Portuguese cooking is made with fresh products. However, it is more traditional than gastronomic. It is starting to become known and the future looks promising with the advent of some good chefs ».

Térésa Moura
(Director General of A.I.C.E.P.)

« AICEP – the Portuguese Agency for Investment and Overseas Trade – is responsible for promoting Portugal’s products, especially agricultural products and food products. Agriculture is focused on greater qualitative value compared to the last few decades. The most flourishing sectors are wine (many of great quality and top-of-the-range) with the internationally famous port, as well as Madeira and some great grape varieties. There is also the fruit and vegetable sector, citrus fruit and olives, the seafood sector with particularly fresh, varied products (many fish including salted and dried cod, crustaceans and shellfish) and the dairy products sector (a large number of ewe and goat’s cheeses, fresh or ripened). Within this broad group, we are also seeing a significant increase in organic products. Our food processing sector as a whole represents slightly less than 12% of our total production. For the most part, Portuguese products are consumed by the domestic market and mostly fresh produce. Today, Portugal can look forward to great gastronomy thanks to its wealth of products and growing number of famous chefs ».