Good Reasons to Invest in Portugal

Transcription

1 Good Reasons to Invest in Portugal 1. A Qualified Workforce: In 2010, people graduated from Portuguese universities, 30% of whom in technological areas. In secondary education enrolment, the Global Competitiveness Report (World Economic Forum) ranks Portugal 13 th out of 142 countries. Portuguese students have an excellent knowledge of foreign languages. English is mandatory in primary school since According to the National Statistics Institute (INE), 20% of highly qualified Portuguese workers have foreign languages degrees. English, French, Spanish, German and Italian are the top five foreign languages studied in Portugal. Figure 1: Students enrolled in higher education institutions by field of study, Competitive Costs Labour costs in Portugal are lower than in most European countries. The minimum wage in 2011 was 565 per month, with a 14-month base salary per year. The average growth rate for labour costs in the last 4 years was 4% in Portugal and 11% in eastern European countries. The price of both electricity and gas in Portugal for industrial consumers is below the EU average (at 27):

2 Portugal is one of the countries with lowest office and industrial space rent prices per sq.m.. For example, Lisbon is the 8 th of 53 towns around the world with the lowest industrial space cost. In Oporto, the second biggest city, this cost is further reduced by 25%.

3 3.Physical infrastructure: Portugal has six international airports (four in the continent and two more in the islands). Oporto airport has been considered in 2011, by the Airports Council International one of the best three European airports. Two of the five Portuguese ports, have international capacity (Lisbon and Sines). Sines is the first deep-sea water port that the Post-Panamax Vessels find on their way to Europe coming from Asia through Panama. According to the OECD, Portugal is in the top 3 European countries with the longest motorway per capita and also has a very extensive railway network connecting the most important cities in the country. 3. Technological infrastructure: According to the ITIF (Information, Technology and Innovation Foundation), Portugal ranks 9 th out of 30 countries in terms of lowest broadband price. More than 90% of Portuguese companies have broadband connection. Coverage is spreading at a rate of 24, 5% across the country. Portugal is the European country with wider DSL coverage - around 95% of the country enjoys total DSL coverage - and 90% of public services are already online. In May 2011, Portugal has been awarded by the United Nations Public Services first prize in the Improving Delivery in Public Services

4 category. More than one million users in Portugal are already connected by Next Generation Network (NGN). Availability of Latest Technologies Rank Figure 2: Technological availability in Portugal BG PL IT IE DE LU NL SE 106º 88º 71º 32º 20º 19º 16º 6º 1º 4. Business Friendly Environment The excellent technological infrastructure available in Portugal makes it a very good place to set up a business. Portugal has been considered by the UN a case study in e-government and has created procedures to register a company in less than one hour and to do it online. Portugal is ranked 2 nd in the Migrant Integration Policy Index, 2011, an indicator of its openness to foreign cultures. Combined with the high number of international schools and the excellent quality of life, this contributes to attract expatriates from all over the world. 5. Geographical Location Portugal has a strategic geographical location, at the intersection of the Atlantic Ocean, the Mediterranean and the North Sea. Portugal can be a strategic business platform between the Americas, African countries and Northern Europe. Portugal has privileged relations with Portuguese speaking countries, present in four different continents and representing a 250 million people market.

5 Image 1: Portugal s privileged geographical position 6. Quality of Life Portugal is an excellent place to live. It is safe, with a sunny climate, environmentally responsible, rich in leisure and culture, with high quality healthcare and education facilities. In terms of quality of life for employees, Lisbon is ranked 14 th out of 34 cities (European Cities Monitor 2009). Among the sites inscribed in the World Heritage List of UNESCO, 13 are located in Portugal.

6 Some Key Sectors Aeronautic and automotive sectors have been considered strategic for the Portuguese economy, receiving close attention by Portuguese decision-makers and entrepreneurs in recent years. Portugal is involved with several institutions and programmes focused on R&D for the aeronautics sector. EMBRAER, one of the world s biggest aeroplane manufacturers, is setting up in Portugal two new production centres. A wide range of aircraft components are manufactured in Portugal: there are around 140 companies in this sector comprising jobs and a turnover of 680M. Image 2: Aeronautic industry in Portugal The automotive industry had a production volume of vehicles in In the past 15 years the auto components industry has grown by more than 200% with a turnover of more than 6 billion Euros in 2010 and is now one of the main export sectors of the Portuguese economy. Image 3: Automotive industry in Portugal Renewable energies are another important sector. Portuguese climate is very favourable for the production of four major types of renewable energy: wind, solar, water and earth. Objectives, especially for the first three types of energy production, are very ambitious. Portuguese companies are working towards the achievement of the following targets: Growth from MW of energy produced from wind in 2008 to 8500 MW in 2020;

7 Implementation of 10 hydro projects of the National Hydro Plan, in order to reach the production of 8.600MW of energy from water; Reaching 1500 MW of solar energy in 2020, from a baseline of only 150 MW in The ultimate goal is the creation of an industrial cluster of renewable energies. Image 4: Some of the most ambitious Portuguese projects in the energy sector The first world prototype of a floating wind turbine has been mounted in Portugal in This project is essential to launch the so-called Sea Economy in Portugal, since these types of turbines are the only way to produce wind energy in deep waters. Installing wind mills in the ocean will preserve landscapes, natural reserve parks and reduce the visual impact of the turbines. Image 5: Floating Wind Turbine Agriculture and mining are another two sectors in which it is well worth to invest. The Portuguese Mediterranean climate is excellent for agriculture, allowing two crops a year. In the Alentejo region, Portugal has the biggest artificial water reservoir in Europe, the Alqueva, offering a wide range of opportunities in agriculture and farming. The Alqueva irrigation area is, currently, ha, but the Global Watering System of Alqueva, which is being developed, will increase it by ha.

8 This modern and wide irrigation system makes this region ideal for the production of high quality meat and milk, as well as for vineyards, olive groves and, in some cases, fruit and vegetables. This region is strongly indicated for investing in agro-industry. Image 6: The Irrigation System of Alqueva, in the Alentejo Portugal has a long tradition in mining and a well established legal structure in this sector. A complex and diversified geology endows Portugal with a considerable mining potential, with a considerable number of ore, industrial and ornamental stone deposits. The main products extracted from Portuguese mines are copper, zinc and lithium, but they are also rich in gold, uranium and magnesium. In the National System for Geo Scientific Information On-line Database, a wide range of information is available, including technical reports and business opportunities. In a nutshell, mining investment in Portugal is supported and protected by good legislation and a pragmatic and patient approach with respect to project development and benefits from well organized and comprehensive sources of information. Image 7: Mines and extraction infrastructures in Portugal

9 ICT The Information and Technologies Sector has been growing considerably for the last few years. It already represents 4% of the Portuguese GDP comprising currently around companies and almost jobs. Two products developed by portuguese technology are the ATM system, the most advanced in Europe, and the Via Verde, a payment system processing over transactions a day, which offers great speed and convenience in highway tolls, fuel filling stations and parking facilities. Some of the most important international players in this area, operating in Portugal: Business Services This sector already has a turnover 1.3 billion and represents 1% of the Portuguese GDP. Portugal is currently among the top 11 countries as the best worldwide destinations to establish outsourcing activities either in offshore or nearshore, according to Garner Consulting, Lisbon has been recently considered a hotspot for the development of SSC s activities. Some of the most important international players in this area, operating in Portugal: