Overview:

• The Portuguese are often described as very welcoming and friendly towards foreigners.
• Portugal is a developed and stable democracy with a modern economy.
• Most barriers to U.S. exports are common to all EU member states.  Some quantitative import restrictions remain.
• There are many opportunities for export, including raw materials and technology products.
• High-growth sectors include automotive manufacturing, semiconductors, electronics, plastics, food processing, and franchising services.

Opportunities:

• Iron
• Steel
• Fuel
• Machinery and transport equipment
• Agricultural products
• Chemicals
• Petroleum
• Textiles and raw materials for textiles (including cotton)
• Computers and peripherals
• Software
• Telecommunications equipment
• Security equipment
• Automobile parts
• Medical equipment.
• Leather products
• High value processed food products  

Marketing Tips:

• Magazines, newspapers, TV, specialized trade directories, and even automatic bank teller machines are good forms of advertising
• If possible, make use of international trade shows.
• For consumer goods, important selling factors are price, quality, brand name and innovative features.
• The Açores and Madeira benefit from more liberal import regulations than the rest of Portugal.
• Portuguese importers and distributors try to import U.S. products through other EU countries in order to avoid value-added tax (which is collected at the time of import on products from outside the EU).
• Give careful consideration to non-price aspects when negotiating a contract.

Business Culture:

• Dress professionally.  Even in the summer, wear a jacket and tie.  Women should be dressed conservatively, but fashionably.
• English and French are widely spoken by senior business executives.
• Trade literature should be in Portuguese.
• Other than shops, businesses do not open on Saturdays.  On Sundays, all businesses are closed.
• Doing business generally takes more time in Portugal, as compared to northern Europe, because personal contacts are especially important.
• Many businessmen still consider a personal contact and a handshake stronger than a contract, but they will not be offended if a formal contract is requested.

Don’ts:

• Avoid addressing a business contact by their first name until a relationship has been well established.
• Don’t try to speak to people using Spanish.                           
• Refrain from raising your voice.
• Avoid rushing through things.            

Dos

• Mind your manners.
• Learn simple greetings in Portuguese.
• Inquire if your company will need to provide an interpreter.
• Observe religious holidays.
• Get to know your customers.

Legal Environment:

• The Portuguese legal system is slow and is the biggest single cause of unresolved U.S. company trade complaints.
• European rules apply on documentation requested on imports.
• International rules on international transport of merchandise apply.
• Portuguese law is open to franchising, distributing, licensing or other agreements.

Links:

• The National Trade Data Bank:  http://www.stat-usa.gov/tradtest.nsf
• Great source from business information.
• Business Culture: http://www.businessculture.com
• Reports on the business culture of Portugal can be purchased for a fee.
• PortugalOffer: http://www.portugaloffer.com
• Contacts, products and services can be found here.
• Global Workshop: http://www.globalworkshop.com/askportugal.html
• Provides detailed information on doing business, working and living in Portugal.