COMMISSION STAFF WORKING DOCUMENT Commission recommendations for Portugal's Cap strategic plan Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Recommendations to the Member States as regards their strategic plan for the Common Agricultural Policy
Date: 2020-12-18
Institutions: Directorate-General for Agriculture and Rural Development, European Commission
Subjects: EU strategy, Portugal, agricultural policy, climate change policy, common agricultural policy, cooperation on agriculture, digitisation, food security, innovation, rural development

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 18.12.2020  SWD(2020) 398 final  COMMISSION STAFF WORKING DOCUMENT Commission recommendations for Portugal's Cap strategic plan Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS Recommendations to the Member States as regards their strategic plan for the Common Agricultural Policy {COM(2020) 846 final} - {SWD(2020) 367 final} - {SWD(2020) 368 final} - {SWD(2020) 369 final} - {SWD(2020) 370 final} - {SWD(2020) 371 final} - {SWD(2020) 372 final} - {SWD(2020) 373 final} - {SWD(2020) 374 final} - {SWD(2020) 375 final} - {SWD(2020) 376 final} - {SWD(2020) 377 final} - {SWD(2020) 379 final} - {SWD(2020) 384 final} - {SWD(2020) 385 final} - {SWD(2020) 386 final} - {SWD(2020) 387 final} - {SWD(2020) 388 final} - {SWD(2020) 389 final} - {SWD(2020) 390 final} - {SWD(2020) 391 final} - {SWD(2020) 392 final} - {SWD(2020) 393 final} - {SWD(2020) 394 final} - {SWD(2020) 395 final} - {SWD(2020) 396 final} - {SWD(2020) 397 final}  
 
 
Contents 

1. 

2. 

1.2 

1.3 

1.4 

COMMISSION  RECOMMENDATIONS  FOR  PORTUGAL’S  CAP 
STRATEGIC PLAN ........................................................................................2 
1.1 

Foster  a  smart,  resilient  and  diversified  agricultural  sector 
ensuring food security ........................................................................2 
Bolster environmental care and climate action and contribute 
to  the  environmental  and  climate  related  objectives  of  the 
Union ...................................................................................................3 
Strengthen  the  socio-economic  fabric  of  rural  areas  and 
address societal concerns ...................................................................4 
Modernising 
fostering  and  sharing  of 
knowledge,  innovation  and  digitalisation,  and  encouraging 
their uptake .........................................................................................5 
Recommendations ..............................................................................6 

the  sector  by 

1.5 
ANALYSIS OF AGRICULTURE AND RURAL DEVELOPMENT IN 
PORTUGAL .....................................................................................................9 
2.1 

Support  viable  farm  income  and  resilience  across  the  EU 
territory to enhance food security ....................................................9 
Enhance  market  orientation  and  increase  competitiveness 
including  greater 
technology  and 
focus  on  research, 
digitalisation .....................................................................................10 
Improve farmers’ position in the value chain ...............................11 
Contribute  to  climate  change  mitigation  and  adaptation,  as 
well as sustainable energy ...............................................................13 
Foster  sustainable  development  and  efficient  management  of 
natural resources such as water, soil and air ................................15 
Contribute 
ecosystem services and preserve habitats and landscapes ...........17 
Attract young farmers and facilitate business development in 
rural areas .........................................................................................18 
Promote  employment,  growth,  social  inclusion  and  local 
development  in  rural  areas,  including  bio  economy  and 
sustainable forestry ..........................................................................20 
Improve  the  response  of  EU  agriculture  to  societal  demands 
on food and health, including safe, nutritious and sustainable 
food, as well as animal welfare ........................................................21 
Cross-cutting  objective  on  knowledge, 
digitalisation .....................................................................................23 

the  protection  of  biodiversity,  enhance 

innovation  and 

to 

2.2 

2.3 
2.4 

2.5 

2.6 

2.7 

2.8 

2.9 

2.10 

1 

 
 
 
 
 
 
1.  COMMISSION RECOMMENDATIONS  FOR PORTUGAL’S CAP STRATEGIC 

PLAN  

In the framework of the structured dialogue for  the preparation of the common  agricultural 
policy  (CAP)  strategic  plan,  this  document  contains  the  recommendations  for  the  CAP 
strategic plan of Portugal.  The recommendations are based on  analysis of the state of play, 
the needs and the priorities for agriculture and rural areas in Portugal. The recommendations 
address  the  specific  economic,  environmental  and  social  objectives  of  the  future  Common 
Agricultural  Policy  and  in  particular  the  ambition  and  specific  targets  of  the  Farm  to  Fork 
Strategy and the Biodiversity Strategy for 2030. As stated in the Farm to Fork Strategy, the 
Commission invites Portugal, in its CAP Strategic Plan, to set explicit national values for the 
Green Deal targets1, taking into account its specific situation and these recommendations.  

1.1  Foster  a  smart,  resilient  and  diversified  agricultural  sector  ensuring  food 

security 

Portugal  is  increasingly  susceptible  to  desertification,  biodiversity  loss,  coastal  erosion, 
drought,  and  animal  and  plant  diseases.  Due  to  climate  change,  these  risk  becoming  more 
frequent and extreme, thus compromising the resilience of farming, as an economic activity 
heavily exposed to natural hazards. The transition towards a sustainable food system presents 
both important economic opportunities as well as challenges for the Portuguese agricultural 
sector.  

Research  and  innovation,  including  the  use  of  technology,  are  key  to  overcoming  factors 
which  inhibit  Portuguese  farming,  such  as  water  availability  and  soil  quality.  At  the  same 
time, there are opportunities to diversify new activities which have the potential for economic 
growth linked to traditional sources of income, which become even more important in areas 
at risk of decline and human abandonment. 

In  Portugal,  the  organisation  of  production,  in  terms  of  share  of  total  value  per  sector 
marketed by producer organisations, varies significantly depending on the sector, and there is 
significant margin for improvement. Associating production with producers can translate into 
better bargaining power, as well as improved access to innovation and technological solutions 
with a potential positive impact on the financial and environmental performance of individual 
holdings.  

Direct  payments  already  provide  an  important  safety  net  for  farmers  and  better  targeting 
might prove essential in Portugal. This process should take into account the diversity in the 
structure of land and farms, as well as underlying natural constraints. 

Moreover,  it  is  essential  in  this  context  to  develop  a  comprehensive  approach  to  risk 
management, making use of both EU and national resources, including the development  of 
insurance products adapted to financial and natural risks in farming. 

1   It concerns the targets related to use and risk of pesticides, sales of antimicrobials, nutrient loss, area under 

organic farming, high diversity landscape features and access to fast broadband internet. 

2 

 
 
                                                           
1.2  Bolster  environmental  care  and  climate  action  and  contribute  to  the 

environmental and climate related objectives of the Union 

In  Portugal,  agricultural  greenhouse  gas  emissions  without  land  use,  land-use  change  and 
forestry (LULUCF) began to decrease after 1990, but started increasing again in recent years; 
between 2013 and 2018, non-CO2 emissions from agriculture increased by more than double 
the EU-27 average. Against this background, the Portuguese national energy and climate plan 
(NECP)  sets  a  target  of  -11%  for  reducing  emissions  in  the  agricultural  sector  in  2030, 
compared  to  2005.  The  increase  in  pasture  land  in  Portugal,  which  requires  active 
management  and  maintenance,  has  led  to  an  increase  in  livestock  numbers.  Measures  to 
reduce methane emissions should be  considered, such as livestock density  limits,  improved 
feed  and  manure  management  as  well  as  anaerobic  digestion.  These  measures  should  be 
weighed  against  the  risk  of  biodiversity  loss  and  increased  risk  of  forest  fires  in  poorly 
maintained pastures.  

Forests  cover  over  half  of  Portugal’s  territory  and  are  an  important  carbon  sink.  However, 
carbon  sequestration  in  the  LULUCF  sector  has  been  sharply  decreasing  since  2008.  This 
reflects  a  need  for  more  resilient  and  sustainable  forest  management  practices.  There  is  a 
need  to  halt  and  reverse  the  deterioration  in  conservation  trends  and  status  of  all  protected 
habitats  and  species.  There  is  also  a  need  to  respond  to  the  challenges  of  climate  change, 
preserving  stocks  and  increasing  the  carbon  sinks  in  forests,  in  agroforestry/Montado 
systems,  in  their  soils  and  harvested  wood  products.  CAP  result-based  payments  can  be 
designed  to  reward  carbon  sequestration  and  the  protection  of  carbon  storage,  in  order  to 
promote a new carbon farming business model around climate action. 

Ammonia  emissions  from  agriculture  in  Portugal  have  been  increasing  since  2013,  putting 
Portugal at high-risk of not complying with its commitment to reduce ammonia emissions for 
2020-2029 and for 2030 onwards. The biggest contributor is livestock production (livestock 
units have been increasing) followed by nitrogen fertilisers.  

While energy consumption of agriculture and forestry per hectare of  utilised agricultural area 
(UAA) remains below the EU average, this consumption increased between 2013 and 2018 at 
a  rate  more  than  the  double  of  the  EU  average.  In  2018,  the  share  of  agriculture  in  the 
production of total renewable energy in Portugal was low and below the EU average. 

Water availability and soil quality are two significant challenges for the agricultural sector in 
Portugal.  Portugal  is  among  those  EU  countries  where  water  abstraction  levels  are 
particularly high, and where prolonged periods of water scarcity due to  global warming are 
projected to intensify. Without sufficient water, some crops may collapse by 2050, with large 
yield  decreases1.  Despite  the  significant  decrease  in  water  used  in  farming  in  recent  years, 
there is a significant scope for saving water, namely through innovation. The mean organic 
carbon content in arable land is among the lowest in the EU and is decreasing. Conversion of 
arable land to grassland is a relevant measure for sequestering carbon in the soil and tackling 
desertification  and  soil  erosion.  In  the  future,  soil  management  and  quality  aspects  can  be 
addressed in synergy with activities under the Horizon Europe mission on soil health. 

Challenges  also  exist  as  regards  water  quality.  In  terms  of  the  Water  Framework  Directive 
(WFD), not all water bodies are deemed to have attained a good status yet and agriculture is 
identified as the most significant pressure. Furthermore, improvements are needed as regards 
ensuring nutrients are efficiently used. 

3 

 
 
Preserving  biodiversity  remains  a  challenge  in  Portugal  where  the  conservation  status  of 
agricultural habitats is largely assessed as “unfavourable-inadequate”. This is also due to the 
abandonment  of  traditional  farming  systems.  Farming  systems  based  on  ecosystem 
functionalities  and  lower  input  use,  e.g.  organic  farming  and  some  traditional  farming 
systems,  which  have  a  positive  impact  in  environmental  terms  including  on  biodiversity, 
preservation of species and natural habitats are developing slowly. Data also shows that the 
organic farming area is well below the EU average.   

The  Commission  considers  that  Portuguese  agriculture  needs  to  improve  its  ecological  and 
climate  transition  in  line  with  the  objectives  of  the  Farm  to  Fork  and  the  biodiversity 
strategies.  The  future  CAP  strategic  plan  should  play  an  important  role  through  a 
strengthened  environmental  ambition  raising  the  level  of  minimum  requirements  and 
developing appropriate incentive tools. Preservation of areas of extensive agriculture, as well 
as  providing  incentives  to  use  agricultural  models  that  help  in  maintaining  or  increasing 
biodiversity need to be prioritised.  

To ensure consistency, the above should go hand in hand, not with funding investments and 
farming  practices  that  have  a  negative  impact  on  Natura  2000  sites  and  beyond,  but  rather 
with  defining  ambitious  requirements  for  biodiversity  in  terms  of  good  agricultural  and 
environmental conditions (GAEC) and fully applying the statutory management requirements 
from the Nature directives. 

1.3  Strengthen  the  socio-economic  fabric  of  rural  areas  and  address  societal 

concerns 

Portugal  is  undergoing  continued  extensive  urbanisation  with  people  leaving  inland  rural 
areas  and  moving  to  urban  centres  on  the  coast.  This  has  led  to  a  fall  in  rural  areas  in  the 
number of people aged 15-64, by 4% for men and 3% for women between 2015 and 2019, 
while the number for those aged under 15 fell by  9% for men and 8% for women over the 
same  period.  This  contributes  to  Portugal  having  the  EU’s  oldest  farmer  population.  The 
main difficulty for young farmers in setting up their businesses is access to land and finance, 
as well as the lack of basic services in rural  areas which make them less  attractive areas to 
settle in.  

Rural  areas  in  Portugal  lack  sufficient  job  opportunities,  especially  for  young  people,  as 
illustrated  by  the  16%  unemployment  rate  for  20-24  year  olds  in  2019.  Ensuring  the 
protection  of  agricultural  workers,  especially  those  in  precarious,  seasonal  and  undeclared 
employment,  will  play  a  major  role  in  delivering  on  the  respect  of  rights  enshrined  in 
legislation which is an essential element of the fair EU food system envisaged in the Farm to 
Fork Strategy. Women also struggle to access job opportunities as shown by the gap between 
male  and  female  employment  rates.  The  specific  needs  of  women  in  agriculture  and  rural 
areas must be carefully considered in order to deliver on gender equality and close the gender 
gaps in employment, pay, and pensions, care and decision making. 

Forests  and  other  wooded  land  are  an  important  feature  in  Portugal,  covering  53%  of  the 
country.  In  recent  years,  forest  fires  have  led  to  increased  LULUCF  emissions.  The 
atomisation  of  privately  owned  forest  land  hinders  the  efficient  forest  fire  prevention 
management, as well as management of plant pests. Agro-forestry systems, on the other hand, 
show  evidence  of  better  resilience  to  similar  risks  and  make  a  greater  contribution  towards 
biodiversity and socio-economic objectives. When it comes to the bioeconomy sector, it still 

4 

 
 
hasn’t reached its pre-financial crisis level. The number of people employed in the sector has 
fallen year on year since 2008. 

When  developing  its  strategic  plan,  Portugal  should  consider  the  diversity  and  specific 
situation of different areas across the country. This is particularly true and relevant in the case 
of areas with specific needs and vulnerabilities, such as its outermost regions, which should 
be appropriately addressed with relevant CAP instruments. 

In Portugal, agriculture has only partially responded to societal demands on food and health. 
Sales of antimicrobial agents have fluctuated greatly but are still above the EU average. Sales 
of plant protection products have been on a downward trend and their use decreased between 
2011  and  2018.  However,  sales  of  more  hazardous  pesticides  in  Portugal  represent  a 
significant share of total sales of pesticides. Portugal should also make an effort to shift from 
a diet rich in animal products towards healthier, more environmentally sustainable diets rich 
in fruit and vegetables.  

1.4  Modernising the sector by fostering and sharing of knowledge, innovation and 

digitalisation, and encouraging their uptake 

The agricultural knowledge and innovation system (AKIS) in Portugal has been characterised 
as  weak  and  fragmented.  The  level  of  public  investments  in  knowledge  and  innovation 
through the rural development programmes overall has been below the EU average and the 
dedicated  budget  has  decreased  over  time.  AKIS  actors  operate  with  little  cooperation  and 
coordination.  These  shortcomings  hamper  the  AKIS’  capacity  to  respond  to  the  growing 
information needs of farmers, support the emergence of innovation on the ground and better 
valorise  existing  knowledge.  These  factors  contribute  to  hindering  the  transition  towards 
more sustainable food production. 

The  national  advisory  services  are  dominated  by  farmer-based  organisations,  while  public 
advisors have a limited presence and dialogue between advisory sector and other AKIS actors 
is also limited. Furthermore, the agricultural research system seems to have weak connections 
to  both  advisors  and  farmers.  It  is  essential  to  improve  links  between  public  and  private 
advisors and invest in their training and skills.  

The overall level of knowledge among farmers, expressed in terms of training, remains below 
the  EU  average.  Moreover,  their  involvement  in  the  knowledge  building  and  exchange 
process  is  weak,  as  shown  by  their  low  level  of  involvement  in  interactive  innovation 
projects. 

When it comes to digitalisation, Portugal  remains below the EU average in terms  of use of 
internet services. NGA broadband coverage in rural areas has increased significantly in recent 
years and is above the EU average but coverage varies greatly between regions. The number 
of people in rural areas with at least basic digital skills also remains too low. Improved access 
to  the  internet  could  contribute  to  the  development  of  the  farming  sector,    as  well  as  the 
general development of rural areas in Portugal. 

5 

 
 
 
1.5  Recommendations 

the  above  economic,  environmental/climate  and  social  challenges, 

To  address 
the 
Commission considers that the Portuguese CAP strategic plan needs to focus its priorities and 
concentrate  its  interventions  on  the  following  points,  taking  into  account  also  the  high 
territorial diversity of the Portuguese agriculture and rural areas: 

Foster a smart, resilient and diversified agricultural sector ensuring food security  

  Encourage  business-oriented  farm  management  and  increase  the  average 
economic  farm  size  and  productivity,  through  better  organisation  of  the  sector, 
stimulating  farm  capital  investments,  notably  innovative  solutions  including  new 
ways of sharing resources (fixed capital, labour and technological services), ICT and 
other  digital  technologies  –  and  focusing  on  environmentally  friendly  farming 
practices.  

  Improving  the  viability  of  farms  through  improvements  in  the  effectiveness, 
targeting  and  distribution  of  direct  income  support,  by  continuing  the  internal 
convergence  process  and  the  elimination  of  the  link  to  historical  references  while 
taking into account territorial differences in agricultural income along with the needs 
of  areas  with  natural  constraints  and  small  farms,  by  applying,  for  example,  the 
complementary  redistributive  income  support  for  sustainability  and  the  reduction  of 
payments. 

  Further  develop  risk  management  systems  to  cover  more  holdings,  risks  and 

sectors through insurance products and mutual funds. 

Bolster environmental care and climate action and to  contribute to  the environmental- and 
climate-related objectives of the Union 

  Contribute  to  the  EU  Green  Deal  targets,  including  organic  farming  by 
appropriate  incentives  in  production,  food  chain  and  market  organisations  for  the 
conversion of farmers to organic farming, agro-forestry and other types of production 
systems that have a positive impact on the environment, biodiversity, preservation of 
species and natural habitats. 

  Improve  the  conservation  status  of  agricultural  land  with  a  special  attention  to 
grassland  habitats,  in  line  with  the  priorities  defined  in  the  Prioritised  Action 
Framework.  Contribute  to  the  Green  Deal  target  on  high  diversity  landscape 
features  by  improving  for  example  the  management  of  agroforestry  areas  like 
“montado”,  traditional  olive  groves  and  stone  walls  therefore  contributing  to 
restoration of biodiversity and enhancing pollination. 

  Strengthen  climate  change  adaptation  measures,  with  particular  attention  to 
improving the resilience of agriculture against drought by promoting sustainable and 
less  water  intensive  crops,  changing  planting  dates  and  crop  varieties,  as  well  as 
promoting land management practices that  improve soil quality, in  order to  increase 
soil organic matter and protect soils against desertification and water erosion. Further 
support should be given to increasing farm resilience against extreme weather events. 

  In  line  with  Portugal’s  agricultural  GHG  target  indicated  in  the  NECP,  strengthen 
efforts  on  climate  change  mitigation  by  promoting  precision  farming  and  on-farm 

6 

 
 
GHG assessment tools. Portugal should also reduce ammonia emissions in particular 
in high livestock density regions to respect existing commitments. 

  Incentivise  governance  measures 

for  resilient  and 

forest 
management,  addressing  the  atomisation  of  privately  owned  forest  land.  Enhanced 
governance  should  promote  active  forest  management  more  consistently  across 
forested  landscapes  in  pursuit  of  two  key  objectives.  First,  to  exploit  the 
multifunctional  potential  of  forests  to  support,  where  relevant  in  combination  with 
agroforestry, the Green Deal objectives on climate mitigation and adaptation, as 
well  as  restoration  of  biodiversity.  Second,  to  support  rural  areas  through 
improved forest fire prevention and support to the bioeconomy.  

sustainable 

  Strengthen  the  development  of  renewable  energy  production,  including  from 
biomass (biowaste and bio-products), by fostering local cooperation between private 
and  public  actors.  Incentivise  its  use  to  replace  fossil  fuels  in  agriculture  and 
strengthen  training  and  advice  on  innovative,  environmentally  friendly  and  energy 
saving practices for farmers. 

  Strengthen  efforts  to  reduce  water  abstraction  pressures  and  to  achieve 
sustainable water management which is in line with the WFD by modernising the 
existing  irrigation  systems,  prioritising  water  reuse,  where  it  is  environmentally  and 
economically  sound  to  do  so,  and  promoting  solutions  which  include  nature  based 
ones and natural water retention measures. Contribute to the EU Green Deal target 
on  nutrient  losses  by  reducing  surplus  of  nitrogen  and  phosphorus  originating  in 
agriculture  by  a  better  nutrient  management,  from  animal  housing  to  fertilisation 
techniques, which will also contribute to improving water and air quality. 

Strengthen the socio-economic fabric of rural areas and address societal demands 

  Reduce  the  depopulation  trend,  risk  of  poverty  and  gender  employment  gap  in 
rural  areas  by  promoting  a  multi-funded  strategy,  ensuring  synergies  between  EU 
and  national  funds,  creating  the  conditions  and  infrastructure  for  the  setting-up  of 
businesses, quality employment and training opportunities in rural areas. This strategy 
should in particular strengthen efforts to meet the challenge of generational renewal in 
agriculture  by  reducing  entry  barriers  to  the  sector  (namely  access  to  land  and  to 
credit).  

  Develop  the  circular  economy  by  integrating  primary  biomass  producers  and  their 

associations in bio-economy value chains and reducing food waste.  

  Contribute  to  the  EU  Green  Deal  target  on  antimicrobials  by  putting  in  place 
sizeable  efforts  to  significantly  reduce  the  use  of  antimicrobials  in  farming, 
considering  that  the  figures  indicate  sales  of  antimicrobials  above  the  EU  average. 
Portugal  is  encouraged  to  use  all  available  tools,  including  instruments  under  the 
CAP, to support the farmers e.g. by promoting best practices on reduced and prudent 
use  of  antimicrobials,  together  with  improved  livestock  management,  biosecurity, 
infection prevention and control. 

  Contributing to the EU Green Deal targets on pesticides by continuing the efforts 
to decrease the quantities and risks of most hazardous used pesticides and promoting 

7 

 
 
the  sustainable  use  of  pesticides,  in  particular  by  ensuring  the  uptake  of  integrated 
pest management practices.  

  Enhance  animal  welfare  by  establishing  ambitious  measures  to  promote  best 

practices for livestock, especially for pigs and laying hens. 

Fostering  and  sharing  of  knowledge,  innovation  and  digitalisation in  agriculture  and  rural 
areas, and encouraging their uptake 

  Strengthen  the  Portuguese  agricultural  knowledge  and  innovation  system 
(AKIS)  by  investing  in  coordination  and  increase  of  knowledge  flows  (especially 
among farmers, researchers, advisors, education and the CAP network) to strengthen 
the  impact  of  EU  and  national  funding  for  research  and  innovation.  Particular 
attention needs to be paid to the further development of inclusive, integrated and 
knowledgeable  advisory  services  focused  on  increasing  the  overall  level  of 
knowledge  and  skills  as  regards  economic,  environmental  and  social  aspects  and 
innovation support capacity. Better links between public and private advisors should 
also be established. 

  Contribute  to  the  EU  Green  Deal  target  on  broadband  by  further  improving 
Next Generation Access broadband coverage and strengthening digital skills in rural 
areas to overcome the rural urban gap and to increase development opportunities for 
the rural economy and communities. 

8 

 
 
 
 
2.  ANALYSIS  OF  AGRICULTURE  AND  RURAL  DEVELOPMENT  IN 

PORTUGAL  

Portugal’s  population  is  10.28  million  inhabitants  and  it  has  an  area  of  92,000  km². 
Approximately  31%  of  people  live  in  predominantly  rural  regions  and  22%  live  in 
intermediate regions. These regions employ 2.5 million people2 across an area of 86,400 km².  

Farm holdings in Portugal are mostly small farms of 5 ha or less, and family constitutes the 
largest share of the labour force. There were around 259.000 active farm holdings in Portugal 
in  2016,  covering  3.6  million  hectares  of  utilised  agricultural  area.  Less  than  2%  of 
landholders  were  under  35  years  old3,  with  half  of  those  only  possessing  basic  training.  In 
addition, around half of the total farmers relied on practical experience only4. 

Agricultural income per family worker is below the average wage in the whole economy but 
higher than the EU average5. Furthermore, Portugal has a negative agricultural trade balance 
with  other  EU  countries,  while  the  trade  balance  with  non-EU  countries  is  positive6. 
Significant exports include olive oil and wine. The negative net migration rate in Portuguese 
rural areas underlines the issue of depopulation. In recent years, the employment rate in rural 
areas  has  been  slightly  above  the  EU  rural  employment  rate  and  slightly  below  the  total 
employment rate in Portugal7.  

2.1  Support viable farm income and resilience across the EU territory to enhance 

food security  

Between 2005 and 2018, the entrepreneurial agricultural income equalled, on average, about 
52% of the average wage in the whole economy8. With great fluctuations over time, ranging 
from 39% in 2011 to 71% in 20189, the average income per worker is lower on smaller farms. 
There is a positive correlation between income and holding size for farms of up to 200 ha. 

Direct payments represented 23% of the agricultural factor income in Portugal between 2016 
and 201810. Coupled support  is  20% of the Portuguese national  ceiling, oriented  to  support 
milk,  beef  and  veal,  sheep  and  goat,  rice  and  fruit  and  vegetables11.  Consequently,  direct 
payments  play  an  important  role  in  all  classes  of  farms  in  Portugal,  with  even  higher 
importance  in  areas  with  natural  constraints  and  small  farms.  66.3%  of  farms  in  Portugal 
received direct payments in 201812.  

In  terms  of  targeting  and  distribution,  20%  of  the  beneficiaries  received  85%  of  direct 
payments  in  Portugal  in  201813,  reflecting  the  existing  concentrated  structure  of  land 
ownership.  The  direct  payments  per  hectare  ratio  decreases  with  farm  physical  size14.  This 
could  be  related  notably  to  the  preponderance  of  certain  sectors,  with  a  continuing  high 
average of direct payments per hectare in the smallest economic size and after in the biggest 
economic  size  classes.  The  redistributive  payment  introduced  since  2017  seems  to  play  a 
moderate  role  (relatively  low  envelope  dedicated  to  it).      Most  agricultural  sectors  see 
fluctuations  in  income  over  time,  with  income  being  on  average  lower  for  livestock  and 
mixed crops as compared to other sectors15. The level of agricultural income is also different 
depending  on  the  regions,  with  income  levels  below  the  average  in  the  Norte,  Centro  and 
R.A. of Madeira (where the unit amount - direct payment per hectare - is on average higher), 
and with more than double the average in Alentejo and R.A. of the Azores16.In terms of risk 
management, Portugal is characterised by a high yield variability17. Direct payments provide 
the  main  protection  against  falls  in  income.  Portugal  has  a  risk  management  system  for 
economic losses due to climatic or environmental events as well as animal or plant diseases. 
This  has  been  financed  mainly  through  the  Rural  Development  Programmes  and  the  Wine 

9 

 
 
support programs and Fruit and Vegetables operational programmes18 as well as the national 
budget19.  For  crop  insurance,  Portugal  works  with  a  national  subsidised  insurance  scheme 
under  the  rules  of  state-aid20.  The  MS  offers  an  insurance  premium  for  its  farmers,  with  a 
support rate at 65% for all collective insurance policies and  young farmers and 62% for all 
other groups21.  In general, the number of total  beneficiaries  is  relatively small,  with  a huge 
decrease in memberships (from 100 000 to 20 400 between 2000 and 201822). The coverage 
of   the  current  insurance  system  is  limited  despite  the  fact  that,  according  to  the  forecast, 
agricultural  activity  will  be  significantly  more  exposed  to  climate  risk  and  other  potential 
risks, such as the occurrence of pests or plant health diseases. 

Trend in agricultural income (versus average wage in the economy) in Portugal 

Agricultural factor income per AWU in real terms  

Agricultural income as % of average wage in the economy  

Agricultural income as % of average wage in the economy – EU-27 

Source: DG AGRI, based on EUROSTAT 

2.2  Enhance  market  orientation  and  increase  competitiveness  including  greater 

focus on research, technology and digitalisation  

The  agri-food  trade  balance  in  Portugal  is  traditionally  negative,  which  causes  a  structural 
macroeconomic  imbalance.  Levels  of  self-sufficiency  in  cereals  in  particular  are  very  low, 
originating  a  risk  of  supply  breakdown.  Portugal  had  a  slight  positive  trade  balance  with 
countries outside the EU (extra EU-27) between 2013 and 2017 mainly due to the export of 
olive  oil  and  wine.  The  intra-EU  trade  balance  is  negative  but  remains  relatively  stable 
overtime.  

The total number of farms decreased between 2005 and 2016 in Portugal from about 324 000 
to 259 000 farms. The average farm size remained stable over the same period, between 12 
and  14  hectares.  The  agriculture  sector  is  atomized  with  73%  of  the  farms  with  a  very 
reduced  economic  dimension23  and  16%  with  a  reduced  dimension.  These  farms  represent 
only  30.2%  of  the  UAA.  There  is  a  significant  regional  diversity  in  terms  of  physical  and 
economic dimension of the holdings. The North and Centre concentrating the higher number 
of  farms  and  work  volume  while  the  UAA  is  mainly  in  the  South.    The  agricultural  area 
decreased from 3.8 million hectares in 2005 to 3.61 million hectares in 2019. The decline in 
agricultural area is explained by a decline in arable land24. 

The number of livestock units increased over time in Portugal from around 2 million LU in 
2005  to  2.2  million  in  2016.  The  livestock  density  (calculated  as  total  number  of  livestock 

10 

 
 
units/total  utilised  agricultural  area)  increased  from  0.54  in  2005  to  0.61  in  2016.  The 
agricultural area of extensive grazing (area under grazing livestock production below 1 LU/ha 
of forage area) increased marginally between 2005 and 2013 from 53% to 56% of the total 
UAA. The increase is related to the increase in the share in permanent grassland in 201625. 

Total factor productivity (TFP) in Portugal is slightly increasing, 1.7% average from 2007 to 
201726. However, the behaviour of each factor varies significantly. The productivity of gross 
fixed capital  is  increasing 1.2% each  year. The productivity of the land is  diminishing as  a 
consequence of the increase in the value of the land (0.9% year). The labour productivity has 
increased  steadily  from  2010  onwards  (4.5%  a  year)  in  a  context  of  sharp  decrease  of 
employment  in  the  agriculture  sector  representing  now  5%.  The  significant  increase  in  the 
volume  of  intermediate  consumption  used  in  the  agriculture  activity  led  to  a  loss  of 
productivity of 0.5% a year. 

Investment  in  Research  and  Innovation  in  the agri-food sector is  low in  Portugal27. Despite 
the  increasing  trend,  it  represents  less  than  4%  of  total  Portuguese  R&I  investments.  The 
research model in  the agri-food and forestry sectors is  characterised by  great  fragmentation 
and reduced dialogue between its structures, favouring fundamental research, which results in 
the limited connection to companies and the poor dissemination of results. 

Water availability and the quality of the soil are two essential factors for the productivity and 
sustainability  of  the  sector.  This  is  even  more  important  under  Mediterranean  climatic 
conditions. Between 2002 and 2016, water consumption in the sector was reduced by 43.5%, 
however  it  is  estimated  that  the  efficiency  in  the  use  of  water  is  between  60%  and  65%. 
According to the estimates of the Commission, the annual soil loss by water erosion is 2.2 t 
ha-1 yr-1 a little bit lower than the mean at EU level. 

Total factor productivity in agriculture in Portugal (Index 2005 = 100) 

Total factor productivity 

Labour productivity 

Capital productivity 

Land productivity 

Source: EUROSTAT for TFP and DG AGRI for partial productivity 

2.3  Improve farmers’ position in the value chain  

The  share  of  the  value  added  for  primary  producers  in  the  food  chain  in  Portugal  has 
fluctuated  between  a  minimum  of  22.6%  in  2011  and  a  maximum  of  27.2%  in  2013.  The 
share of value added that goes to agriculture in Portugal is very similar to the EU-average. In 
2016, 25% of the value added in the food chain went to primary producers.8 

Value added in the primary sector has increased in the last twenty years (1997-2017) but still 
on a lower pace than upstream stages of the food chain i.e. food processing and distribution28.  

11 

 
 
 
Contrary to most other EU Member States, micro-enterprises generate 60% of the Portuguese 
agricultural  output29.  Crop  production  generates  60%  of  Portugal’s  agricultural  output.  The 
most important  sectors in  terms  of production value in  Portugal  in  2017 are fruits  (20.3%), 
vegetables and horticulture (16.8%), wine (11.4%), milk (9.5%) and cattle (8.8%).2 

At  the  end  of  2018,  there  were  128  recognised  Producer  organisations  (PO)  in  Portugal. 
Between  2015  and  2018,  there  was  an  increase  in  the  number  of  recognised  POs  for  most 
sectors.  Fruit  and  vegetable  POs  present  the  highest  proportion  (45%).  This  is  mainly 
explained because this sector benefits from specific Operational Programmes for recognised 
POs.16 

Overall, the economic value of POs has increased in the past years. Between 2013 and 2017 
in  VMP  (value  of  marketed  production)  terms  the  distribution  structure  of  POs  moved 
towards larger POs, with the POs with a VMP of up to EUR 5 million EUR representing 59 
% of the total in 2017, compared to 72 % in 2013. In 2017, 17 % of recognised POs had a 
VMP of over EUR 10 million against only 11 % in 2013.16 

The  organisation  rate  -  share  of  total  value  per  sector  marketed  by  recognised  PO  -  varies 
significantly depending on the sector30.  In 2017, 100% of rice is marketed by PO (from 50% 
in  2016).  Milk  and  dairy  PO  market  around  45%  of  the  total  production  in  2017;  cereals, 
30%; olive oil 28%; pig meat, 25%; wine, 8%. For fruit and vegetables, the organisation rate 
(23%) is below the EU average (50% in 2017)31.  

There are recognised Interbranch Organisations (IBO) for milk and dairy products, cork, rice, 
wine  and  olive  oil.  They  mainly  focus  on  technical  aspects  relevant  to  their  sector  (e.g. 
laboratory analysis for quality of milk and milk products). Only the rice sector has taken steps 
in negotiation and conclusion of IBOs agreements.32 

Since  2010,  several  regulatory  policy  initiatives  have  been  implemented  in  Portugal  to 
increase  the  bargaining  power  of  primary  producers  along  the  food  chain,  (for  example,  a 
national  UTPs  legislation  is  already  in  place33)  and  market  transparency.  Nevertheless,  the 
asymmetry of bargaining power of the primary producers vis-à-vis downstream segments in 
the food chain persist9. 

Quality schemes are well represented in Portugal with 94 PDO, 185 PGI and 1 TSG. 33% of 
them correspond to wine & spirits.34 

12 

 
 
 
Value added for primary producers in the food chain in Portugal (in million EUR) 

Value added for primary producers in the food chain in million EUR in 
Portugal 

Primary production 

Food and beverage manufacturing 

Food and beverage consumer services 

% for primary producers (right axis) 

Food and beverage distribution 

% for primary producers – EU-27 

Source: EUROSTAT 

2.4  Contribute to climate change mitigation and adaptation, as well as sustainable 

energy  

In 2018, agricultural emissions of greenhouse gases (GHG) (without LULUCF, see below) in 
Portugal amounted to 6.8 million tonnes of CO2 equivalents. This accounts for about 9.5% of 
total  GHG  emissions  in  Portugal  and  circa  1.7%  of  the  total  EU  GHG  emissions  from 
agriculture.  These  non-CO2  emissions  from  agriculture  increased  by  4.89%,  more  than  the 
double  of  the  EU  average,  between  2013  and  2018.  51.4%  of  agricultural  emissions  in 
Portugal relate to enteric fermentation of livestock (mainly cattle), 31.7% to agricultural soils, 
13.5% to manure management and 2% to rice cultivation. Trends for the 2013 – 2018 period 
show  increases  in  emissions  from  enteric  fermentation  (8.2%)  and  manure  management 
(6.7%)  which  are  far  above  the  EU  average35,36.  Arable  land  abandonment  has  led  to  an 
increase  in pastures37 which has contributed to the increase in total livestock units and high 
input farming areas since 2013 to 2016, which may have contributed to this trend38,39. Targets 
in  the  National  Energy  and  Climate  Plan  for  the  reduction  of  emissions  in  the  agricultural 
sector  are  -8%  by  2020  and  -11%  by  2030.  The  recent  increasing  trend,  in  particular  since 
2016, puts GHG emissions from agriculture above the 2005 reference value, diverging from 
these targets. 

In  Portugal,  emissions  and  removals  of  GHG  from  land  use,  land  use  change  and  forestry 
(LULUCF)  constitute  a  net  sink,  due  to  an  important  contribution  of  forestland,  however, 
44% lower than in 2010. Cropland and grassland are net sources of CO2 emissions, following 
the EU-27 trend40. 2017 was an exceptional year for Portugal, with a net source of emissions 
from  LULUCF,  due  to  exceptional  forest  fires41.  As  for  the  overall  EU,  LULUCF  GHG 
removals  in  2017  were  also  lower  than  in  2018  and  in  previous  years.  The  mean  organic 
carbon content in arable land was among the lowest in the EU in 2015, reaching 15.6 g kg -1, 
a decrease since 200942. The peat cover in Portugal is 0.3% only43.  

In 2018, the share of agriculture in the production of total renewable energy in Portugal was 
low (5.2%), below the EU average (12.1%).  As for the  forestry  sector, it  is  responsible for 
42%  of  total  renewable  energy  production,  slightly  above  the  EU  average  (41.4%).  The 
energy production from vegetal materials other than wood has decreased by 33.5% between 
2013  and  2018,  while  the  use  of  wood  products  has  increased  in  the  same  period  (6.23%). 
The  share  of  energy  consumption  in  Portuguese  agriculture  and  forestry  in  total  final 

13 

 
 
consumption (2.4%) was slightly below the EU average (2.9%)44.  A similar pattern can be 
observed for the use of energy for food processing (2.8%). However, the energy consumption 
in agriculture and forestry per hectare of utilised agricultural area (UAA) in 2013 - 2018 has 
increased by 20%, more than the double of the EU average45. 

The National Adaptation Strategy (ENAAC 2020) has been adopted, followed by the Action 
Programme  for  Adaptation  to  Climate  Change  (P-3AC),  for  2030.  The  vulnerabilities  and 
impacts  of  climate  change  identified  in  the  P-3AC  include  increases  in  the  frequency  and 
intensity  of  rural  and  forest  fires,  heat  waves,  droughts  and  water  shortages,  as  well  as 
increases of the maximum temperature and susceptibility to desertification46. The Portuguese 
agricultural  sector  is  expected  to  face  a  reduction  in  crop  yields  from  water  scarcity  while 
some  northern  areas  may  benefit  from  heat  accumulation,  and  damages  to  crop  and 
infrastructure due to heavy rain and wind may also occur47. To address these vulnerabilities, 
the  P-3AC  outlines  adaptation  measures  grouped  in  nine  action  lines.  These  action  lines 
include prevention of rural and forest fires, improvement of soil fertility, good practices for 
water management in agriculture, increased ecosystem resilience, prevention against invasive 
exotic  species  and  agricultural  and  forestry  diseases  and  pests,  and  reduction  of  flooding 
risks. Measures for each action line were described along with potential financial instruments, 
involved  entities,  monitoring  indicators  and  targets.  The  2014-2020  Rural  Development 
Programme was an important financial contributor to these objectives48. In 2018, the share of 
expenditure from Rural Development on climate action in Portugal was 19%, higher than the 
EU average of 5%49.  

According to the National Energy and Climate Plan, the target for the reduction of non-ETS 
emissions  is  of  -17%  by  2030,  as  compared  to  2005  levels.  Agriculture  and  forestry  will 
make an essential contribution to the decarbonisation of the economy. Policies and measures 
established in the NECP include the reduction of the carbon intensity of livestock activities 
(by  promoting  the  treatment  and  management  of  effluents  and  the  improvement  of  feed 
digestibility)  and  the  reduction  of  consumption  of  conventional  nitrogen  fertilisers  (by 
adopting  a  code  of  best  practices,  improving  fertiliser  use  efficiency,  e.g.  by  expanding 
precision agriculture, and encouraging the use of organic fertilisers). In the LULUCF sector it 
will  focus  on  the  increase  of  carbon  sinks  in  both  agriculture  and  forestry  (by  supporting 
forestation,  increasing  resilience  to  rural  fires,  e.g.  through  species  diversity,  restoring  and 
improving  lands  and  preventing  erosion,  e.g.  by  recovering  riparian  galleries  and  applying 
techniques that improve carbon levels).This contribution will still be less significant than that 
of  other  sectors,  such  as  transport,  energy  or  industry.  The  role  of  bio-economy  in  the 
decarbonisation  will  also  be  encouraged  for  example  through  the  promotion  of  the  use  of 
forestry and agricultural residual biomass and the support for the establishment of crop areas 
for energy purposes50. 

14 

 
 
 
 
Total Greenhouse gas emissions from agriculture (including and excluding LULUCF) 
in Portugal (in million tonnes of CO2 equivalents) 

Grassland 
Cropland 
Agriculture 
% of agriculture in total GHG emissions (exc. LULUCF) 
% of agriculture (incl. emissions from cropland and grassland) in total GHG emissions (incl. LULUCF) 
EU-27 % of agriculture (incl. Emissions from cropland and grassland) in total GHG emissions (incl. LULUCF) 
Source: European Environmental Agency. As in EUROSTAT [env_air_gge] 

2.5  Foster sustainable development and efficient management of natural resources 

such as water, soil and air  

In terms of air quality, ammonia emissions from agriculture in Portugal have been increasing 
since 2013, a similar trend for the EU, and reached 47 thousand tons in 2017, accounting for 
around 80% of total  ammonia emissions in  Portugal  and 1.4% of  ammonia emissions from 
agriculture  in  the  EU.  The  highest  contributor  is  livestock  production,  which  accounts  for 
around 40% of total ammonia emissions from agriculture, particularly from cattle and swine, 
followed  by  application  of  synthetic  nitrogen  fertilisers  (18.7%)51,52.  An  increase  in  total 
livestock units and high input farming areas since 2013 may have contributed to this53. The 
Commission’s  assessment  of  the  risk  of  non-compliance  with  the  emission  reduction 
commitments  under  the  National  Emissions  Ceilings  (NEC)  Directive    states  that  Portugal 
would  be  at  high-risk  of  non-compliance  with  the  emission  reduction  commitments  for 
ammonia  for  both  2020  to  2029  and  for  2030  and  beyond54.  The  National  Air  Pollution 
Control Programme is currently being revised.  

Threats to soil quality in Portugal include organic matter depletion, soil erosion by water and 
desertification.  In  2015,  the  mean  organic  carbon  content  in  arable  land  was  among  the 
lowest in the EU at 15.6 g kg  -1, and has decreased by 12% since 200955. This low organic 
carbon  content  is  common  to  southern  European  countries  due  to  climatic  conditions  that 
favour organic carbon mineralisation. However, improper land management  may  contribute 
to aggravating this issue. The southern region of Portugal has a large area which is sensitive 
to  desertification56.  According  to  the  2014  National  Action  Programme  to  combat 
desertification  under  the  United  Nations  Convention  to  Combat  Desertification  (UNCCD) 
framework, 63% of area in mainland Portugal was susceptible to desertification in the decade 
of 2000 - 2010, an increase compared to previous decades57. In 2016, the share of estimated 
agricultural  area  affected  by  severe  water  erosion  in  Portugal  was  5.2%,  a  slight  decrease 
since 2010 (5.6%), and below the EU share of severe erosion (7%).  The north of the country 
is the region most affected by moderate to severe erosion. Arable and permanent crop areas in 
“Tamega e Sousa” and “Ave” top the list with 51.4% and 30.5% of areas affected58. 

On water quality, in terms of the Water Framework Directive around 42% of surface water 
bodies are failing to achieve good ecological status and for chemical status 1% is failing to 
achieve good status but  74% are unknown. For groundwater the situation is better with 3% 

15 

 
 
failing  to  achieve  good  quantitative  status  and  9%  failing  good  chemical  status.  Diffuse 
agricultural pollution is the most significant pressure on both surface and groundwater59. The 
potential  surplus  of  nitrogen  has  remained  stable  since  1995  while  phosphorus  surplus  has 
fallen,  both  with  year  to  year  variations,  as  seen  in  the  graph  below.  In  2015,  the  nitrogen 
surplus  was  of  41  kg/ha,  which  is  still  below  the  EU  average.  For  phosphorus,  the  surplus 
was  higher  than  the  EU  average,  reaching  5  kg/ha.  Recent  trends  show  small  increases  in 
both  nutrients  since  200860.  However,  Portugal  is  among  the  Member  States  with  lower 
efficiency in the use of fertilisers. 

For the period of 2012 - 2015, no monitoring sites have reached poor water quality status for 
nitrates  in  surface  waters.  The  situation  has  been  relatively  stable  in  comparison  to  the 
previous  period  of  2008  -  2011,  since  only  7.7%  of  stations  present  an  increase  in  nitrate 
concentrations. Eutrophication in fresh waters has decreased in 2012  - 2015 as compared to 
2008 - 2011. 32.4% of  groundwater  stations had a  concentration of nitrates that was  above 
the limit for a high quality status, and 17.9% of groundwater stations showed a poor quality 
status  over  the  same  period.  Nitrate  concentrations  in  19.5%  of  groundwater  stations  have 
increased from 2008 - 2011 to 2012 - 201561.  

On  water  quantity,  the  water  exploitation  index  (WEI+)  in  Portugal  was  12.7%  in  2017, 
indicating low water stress. However, the WEI+ has shown a high variability over the years 
and  between  river  basins,  with  centre  and  south  regions  being  usually  the  most  affected62. 
Agriculture  accounts  for  about  80%  of  total  water  consumption63.  Water  abstraction  in 
agriculture  in  2017  has  decreased  by  10%  since  2009.  However,  Portugal  has  a  high  water 
abstraction in agriculture, having reached around 3400 million cubic meters in 201764.  

The share of irrigation in the total water abstraction was high (70%)65. However, it is within 
the range commonly seen in Mediterranean countries. In 2016, the irrigable area in Portugal 
was 15.1% of the total utilized agricultural area, a slight increase since 2010 (14.7%), ranking 
as the 7th country with the largest share of irrigable area66. Despite the decrease in water used 
in  farming  in  recent  years,  there  is  significant  scope  for  saving  water  and  also  significant 
potential through innovation67. 

Kg N/ha/year 

Potential surplus of N and P on agricultural land in Portugal 

Kg P/ha/year 

Potential surplus of nitrogen on agricultural land (in kg N/ha/year) 

EU-27 GNB for Nitrogen 

Potential surplus of phosphorus on agricultural land (in kg P/ha/year) 

Source: EUROSTAT [aei_pr_gnb] 

16 

 
 
2.6  Contribute  to  the  protection  of  biodiversity,  enhance  ecosystem  services  and 

preserve habitats and landscapes 

The share of farmland eligible to direct payments, covered by permanent grassland is slightly 
decreasing since 2015, reaching 34,1% in 201968. This variation is explained by an increase 
in the total agricultural area while the area under permanent grassland remained stable. The 
indicator  on    conservation  status  of  agricultural  habitats  shows  that  in  Portugal  for  the 
reporting  period  2013-2018,  62.5%  of  grassland  had  an  unfavourable  conservation  status 
(43.8%  unfavourable-inadequate  and  18.7%  unfavourable-bad).  This  was  particularly 
prevalent  in  grassland  formations,  which  include  traditional  extensive  farming  systems 
including  “montados”  and  marshes.  The  abandonment  of  agricultural  activity  has  been 
affecting negatively some of these farming systems. These agricultural areas are particularly 
relevant  for  the  existence  of  landscape  mosaics  favourable  to  biodiversity,  namely  in  areas 
with high rate of afforestation. According to the same indicator, 37.5% of the grassland is in a 
favourable status and the more favourable areas are located in the south of Portugal69. 

In Portugal, landscape elements represent 0.3% of the UAA which is below the EU average 
(0.6% for EU-27), but the share of fallow land is considerably higher than EU-27, 7.4% and 
4.1% respectively. However, there are high variations at regional level. While the North, in 
particular  Douro  Vinhateiro  region,  present  high  density  of  linear  elements,  the  Alentejo 
region  has  a  rather  low  density  of  those  elements  important  for  the  preservation  of 
biodiversity70.  Portugal  plays  an  important  role  in  the  Eastern  Atlantic  Flyway  and  in  the 
habitat of farmland birds.  

In  2018,  the  share  of  agricultural  area  in  Natura  2000  was  almost  18%  (including  natural 
grassland), compared to 11% at EU-27 average and for forestland at around 20% (including 
transitional woodland-shrubs), which is below the EU 27 average (30%)71.   

The  Prioritised  Action  Framework  (PAF)  2014-2020,  that  identifies  Natura  2000  funding 
priorities, has suffered significant delays in its implementation, which required the carry-over 
of important activities for the period 2021-2027. This plan emphasises the need to implement 
horizontal  and  governance  measures  as  well  as  agri-forestry  conservation  and  restoration 
measures. 

Organic farming, agro-forestry systems and other types of production systems have a positive 
impact  in  environmental  terms  including  in  the  biodiversity,  preservation  of  species  and 
natural habitats.  In 2018, the share of  organic farming area in Portugal represented 5.9% of 
the  total  utilised  agriculture  area  (UAA)72.  This  is  below  the  EU27  average  of  8%,  and  a 
decrease  since  the  previous  years  when  the  organic  area  in  Portugal  covered  around  7%  of 
UAA. Area under conversion to organic farming has been declining year by year since 2015 
until, in 2018, the area under conversion was only 0.5% of total UAA73. 

As for farming intensity, Portugal performs better than the EU average in terms of farms with 
low  input  intensity  per  ha,  respectively  30.6%  of  UAA  and  27%.  However,  Portugal  has  a 
slightly  higher  share  of  land  managed  intensively  (39%  compared  to  36.3  %  at  EU-27). 
Portugal has by far the highest share of UAA used for extensive grazing (58.4 % compared to 
19.8 % at EU-27 average). 

17 

 
 
 
Area under organic farming in Portugal 

Hectares under organic farming 

% of agricultural area under organic farming 

% of area under organic farming in 
the EU-27 

EUROSTAT [org_cropar_h1] and [org_cropar] 

Share of agricultural area covered by  
high-diversity landscape features in the EU  

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P

I

O S
R

I

K F
S

E
S

fallow land as % of agricultural area
Fallow land as % of agricultural area 

Landscape features as % of agricultural area 
landscape elements as % of agricultural area*

Source: DG AGRI based on Eurostat and JRC based on LUCAS survey. 
* Linear elements considered here: Grass margins, shrub margins, single trees bushes, lines of trees, hedges 
and ditches. This estimation is to be taken with caution because of methodological caveats. 

2.7  Attract young farmers and facilitate business development in rural areas  

Portugal  has  undergone  a  process  of  urbanisation  with  people  from  interior  rural  areas 
moving towards the coast and the urban areas, which contributes to the high age of the rural 
population,  land  abandonment  and  few  socio  economic  alternatives  in  rural  areas.  Micro 
enterprises  dominate  the  entrepreneurial  landscape  in  the  country  with  only  35%  of  these 
situated in rural areas. Micro-enterprises in the primary sector situated in the region of Lisbon 
and the coast north of Lisbon concentrate alone 24% of the gross added value.  

Portugal ranks first in the EU-27 for the oldest farmer population, with 51.9% of farmers over 
65 years old. Moreover, in the period between 1999 and 2016, there was a decrease of 40% in 
the number of farmers, which was more accentuated (70%) in the case of young farmers74. In 
2016,  young  farmers  below  35  years  of  age  represented  1.9%1  of  the  total  farm  manager 
population in Portugal (compared to 5.1% EU average).   

18 

 
 
 
Young  farmers  hold  bigger  farms  than  others  in  each  region,  the  size  is  varied  and  has 
followed an increasing trend. Over half are smaller than 5 ha, the average size being 18.5 ha, 
double the average UAA of farm holders over 40 in 2016. The main activities are in animal 
production (27%) and the fruit and vegetables (18%) sector.   

Access  to  land  is  the  main  obstacle  to  the  setting-up  of  young  framers  and  is  more 
accentuated in Portugal than in EU-2775, followed by lack of seasonal workforce and access 
to  credit. Young farmers mostly own  the land.   A significant  percentage of  young  farmers1 
claim  that  lack  of  access  to  knowledge,  extension  services,  technical  support  and 
technological  solutions  are  also  major  factor  inhibiting  setting-up.  There  is  a  financing  gap 
between  95  and  383  million  euros  in  the  Portuguese  agriculture  sector,  for  which  young 
farmers constitute an important part. 

Young  farmers  educated  beyond  the  level  of  basic  education  have  increased  from  12%  in 
1999 to over 50% in 2016. Professional agricultural training has gained ground relative to on-
site  training,  mainly  due  to  obligations  related  with  policy  change.  In  2016,  22%  of  young 
farmers were women (compared to 23.3% EU average)76. 

For  2016,  first  pillar  top-up  payments  needs  were  estimated  at  the  maximum  of  2%  of  the 
national envelope77. Regarding rural development, the current programming foresees support 
for  the  setting-up  of  young  farmers,  and  other  complementary  support  has  been  provided 
through  knowledge  transfer  and  information  actions,    advisory  services,  farm  management 
and  farm  relief  services,  investments  in  physical  assets  and  cooperation78.  Up  to  201879, 
roughly 850 million euros of investments had been approved for young farmers, referring to 
approved and budgeted projects representing 30% of the total amount for submitted projects. 
Financial instruments are also available to young farmers since 2019. 

Share of farm managers < 35 years by gender in Portugal 

Share of male farm managers below 35 years 

Share of female farm managers < 35 years 

Share of farm managers below 35 years – EU-27 

Ratio < 35 y.o />= 55 y.o. (right axis) 

Source: EUROSTAT 

19 

 
 
 
 
 
 
2.8  Promote  employment,  growth,  social  inclusion  and local  development  in  rural 

areas, including bio economy and sustainable forestry 

Rural areas80 accounted for 79% of land in Portugal in 201681 compared to 45% for the EU-
27. 31% of the Portuguese population lived in rural areas in 201982, a reduction of 3% since 
2015.  Over  the  same  period,  the  under  15  male  and  female  population  in  rural  areas  went 
down 9% and 8% respectively while the 15-64 age group went down 4% for men and 3% for 
women83.  The  majority  of  Portuguese  regions  suffer  from  net  population  loss.  Population 
density has remained stable at  45 inh/km84  but  many  areas  in  Portugal  are  at  risk of  seeing 
their  population  shrink  in  the  future85.  Ageing  in  rural  areas  is  an  issue  a  number  of 
Portuguese regions will have to contend with, as illustrated by their high old-age dependency 
ratio in 201986. 

The employment rate in rural areas for 15-64 year olds was 68.4% in 2019, on par with the 
EU27 average. It rose consistently from 61.8% in 2013 to its current level in 2018 and has 
stagnated  since  87.  Among  the  15  to  64  age  group,  a  clear  gap  remains  between  male 
employment in rural areas (73.4% in 2019) and female employment (63.4% in 2019)88. This 
contrast  is  even  starker  when  it  comes  to  the  employment  rate  for  women  with  lower 
secondary education which was 59.7%, compared to 77.7% for men89.  

The  unemployment  rate  for  20-24  year  olds  in  rural  areas  has  fallen  from  30%  in  2015  to 
16%  in  2019.  This  remains  much  higher  than  the  national  average  which  is  6.3%  in  2019, 
comparable to the EU average of 5.8%90. The share of young people aged 15 to 24 neither in 
employment  nor  in  education  in  rural  areas  is  on  a  general  downward  trend  since  201391. 
Despite  improvements  since  a  peak  of  15%  in  2015,  rural  women  aged  15  to  24  remain 
disproportionately  represented  among  this  category  in  2018  (10%  vs  a  national  average  of 
8%)92. 

The  share  of  people  working  in  agriculture  in  Portugal  was  5.9%  in  2017  compared  to  an 
EU28  average  of  4%.  This  number  has  been  on  a  consistent  downward  trend  since  2013, 
when  the  share  was  9.6%.  The  share  of  women  working  in  the  sector  has  also  decreased, 
from 41.5% in 2013 to 39.1% in 2016. It must be noted that Portugal ranked 7th among EU27 
Member States in terms of share of female farm managers with 30% in 201693.      

The  GDP  per  inhabitant  in  Portuguese  rural  areas  has  remained  around  70%  of  the  EU 
average since 2005. The figure dipped to  65% around 2012 before  gradually rising back to 
70%in 2016. By comparison, this average is around 90% in urban areas in 201694, illustrating 
the gap between rural and urban economies. The gross value added contributed by rural areas 
has  remained  constantly  at  27%  between  2005  and  201695.  The  number  of  bed  places  for 
tourism in rural areas is on a constant upward trajectory, from just over 100.000 in 2012 to 
almost 200.000 in 201796. 

The poverty rate in Portugal in 2019 was higher in rural areas with 25.5% of people at risk of 
poverty or social exclusion compared to 20.4% in cities or towns and suburbs. This compared 
to  an  estimated  EU27  average  of  23.6%  in  201897.  The  share  of  EU  and  non-EU  born 
migrants at risk of poverty was approximately 25% in rural areas in 2017.   

Local  development  under  the  LEADER  approach  led  to  the  creation  of  60  Local  Action 
Groups (LAGs) which are currently active in Portugal. 130 million euros were mobilised for 
these groups, financing small investments for agricultural holdings, economic diversification, 
short circuits  and local  markets,  promotion  of local  products  and renovations works. While 

20 

 
 
multifunded strategies98 were put in place on the continent, their implementation in the early 
stages of the implementation was more complex than expected99.        

53% of land in Portugal was covered by forest and other wooded land100 in 2015, which was 
above  the  EU27  average  of  45%.  A  specific  feature  of  Portuguese  forests  is  that  92%  are 
owned by private owners, 6% by local authorities and only 2% are state owned101. There was 
an  increase  in  the  amount  of  people  employed  in  forestry,  which  went  from  12,000  annual 
working units (AWU) in 2014 to 14,000 in 2017102. The EU27 average in 2017 was 17,915 
AWU.  The  total  output  of  the  forestry  sector  in  2017  in  Portugal  was  EUR  1.2  billion, 
confirming  the  upward  trend  in  the  sector.  This  represented  approximately  2%  of  the  EU’s 
total output in the sector the same year103.       

The  bioeconomy’s  turnover  has  steadily  increased  from  EUR  32.5  billion  in  2009  to  EUR 
39.6  billion  in  2015104.  On  the  contrary,  the  number  of  people  employed  in  the  sector  has 
gone down, from 872 569 in 2008 to 608 919 in 2015105. The main sectors in order of their 
share in the bioeconomy sector turnover were food beverage and tobacco (40%), agriculture 
(17%), bio-based textiles (15%), paper (10%), wood products and furniture.  

2.9  Improve the response of EU agriculture to societal demands on food and health, 

including safe, nutritious and sustainable food, as well as animal welfare 

In 2018 the annual sales of antimicrobial agents for food producing animals expressed as mg 
per population correction unit (PCU) was 186.6. The sales fluctuated considerably during the 
period  2010  to  2018,  with  an  increase  of  4.9  %  between  2010  and  2018.  The  sales  of 
antimicrobial agents remain above the EU average of 118.3 mg/PCU in 2018106.  

On Plant Protection Products (PPPs), in 2018, the sale of pesticides in Portugal was around 
8000  tonnes,  another  year  of  consistent  downwards  trend107.  The  withdrawal  of  PPPs  from 
the  EU  market  may  have  contributed  to  this  reduction.  Better  agricultural  and  plant  health 
practices  that  are  less  dependent  on  these  products,  also  contributed  to  reduced  use  of 
PPPs108. 

The  assessment  of  the  Sustainable  Use  Directive  implementation  demonstrate  that,  despite 
the progress made by Portugal, there are still gaps in many areas of the national action plan, 
as well as serious weaknesses in the control system to ensure the implementation of IPM. The 
main  issues  identified  involve:  equipment  in  use;  use  of  PPPs  in  protected  areas  and  water 
courses; controls for IPM109. 

Harmonised  risk  indicator  1  (HRI  1),  is  calculated  using  the  quantities  of  pesticide  active 
substances that are placed on the market, with a weighting based on the classification of the 
active  substance,  in  accordance  with  Reg.  EC  1107/2009.  According  to  the  ESTAT 
calculation of the HRI 1, the use and risk linked to pesticides reduced in Portugal by 34% in a 
period of 2011-2018, compared to a 17% decline in the EU110. 

Harmonised risk indicator 2 (HRI 2), is  calculated by  combining the number of emergency 
authorisations granted in any one year and weighting them according to the classification of 
the  active  substance,  in  accordance  with  Regulation  EC  No  1107/2009.  Analysis  of  data 
reported  on  the  sales  of  pesticides  under  Regulation  (EC)  No  1185/2009,  shows  that 
candidates for substitution (group 3) comprised a relatively high proportion of total pesticide 
sales in Portugal in the 2015-2018 period, with no clear trend showing a reduction in the sales 
of these products over the years111. 

21 

 
 
The type and number of emergency authorisations remains still quite high, due not only to the 
withdrawal or non-renewal of some active substances at EU level and the absence of suitable 
alternatives,  but  also  the  appearance  of  new  plant  health  problems  for  which  there  are  no 
PPPs available on the national market112. 

In  relation  to  animal  welfare,  routine  tail  docking  in  Portugal  is  lower  than  most  Member 
States  due  to  slaughter  piglets  in  certain  systems  of  production  and  also  to  high  number  of 
pigs  reared  in  extensive  conditions.  The  competent  authorities  have  a  well  thought-out 
implementation  strategy  to  prevent  tail  biting  and  reduce  routine  tail  docking  which  is  a 
problem on farms with intensive rearing systems.113  Regarding egg production, 85% of eggs 
in Portugal are produced in cages while the EU average is around 50%114.. 

In Portugal,  consumers are more sensitive to  food production originating  from  short supply 
chains and local markets, with concerns that go towards environmental sustainability, animal 
welfare, fair trade, valuing local products, opting for the consumption of food directly from 
the  producer  and/or  that  went  through  less  intensive  production  processes.  Furthermore, 
buying local products directly from the producer is for many consumers the most satisfactory 
way  to  guarantee  the  quality,  traceability  and  authenticity  of  the  products  and  a  way  to 
support the local economy115. 

An  inter-ministerial  working  group  was  established,  with  the  objective  of  developing  a 
strategy  for  the  promotion  of  healthy  food  aimed  to  encourage  adequate  food  consumption 
and the consequent improvement of the nutritional status of citizens, with a direct impact in 
the  prevention  and  control  of  chronic  diseases.  One  of  the  key  objectives,  is  to  increase 
citizens'  knowledge  of  the  Mediterranean  Diet  and  in  particular,  its  benefits  for  human 
health116. Portugal has a very high estimated consumption of red meat117. A significant part of 
the  Portuguese  population  is  overweight  or  obese118.  Therefore,  Portugal  should  facilitate  a 
shift  in  Portuguese  diets  towards  a  more  plant-based  diet  with  less  red  and  processed  meat 
and more fruits and vegetables, whole grains, legumes, nuts and seeds, in line with national 
dietary recommendations. Efforts should focus on shifting towards healthy sustainable diets, 
in  line  with  national  recommendations,  in  order  to  contribute  to  reducing  overweight  and 
obesity and the incidence of non-communicable diseases while simultaneously improving the 
overall environmental impact of the food system. 

Concerning food loss and waste in primary production and processing of food no data is yet 
available. Nevertheless, a national strategy to combat food waste has been developed and an 
action  plan  is  already  in  place119.  Moreover,  the  National  Waste  Prevention  Programme 
(2014-2020)120  is  focused  on  urban  waste  and  gives  no  attention  to  food  loss  and  waste 
occurring at the primary production level and the early stages of the supply chain. This could 
be  tackled  in  the  future  national  food  waste  prevention  programme  as  required  by  Article 
29(2a) of the Waste Framework Directive 2008/98/EC. 

22 

 
 
 
 
Sales of veterinary antimicrobial agents marketed 
mainly for food-producing animals in Portugal 

Harmonised Risk Indicator 1 for pesticides in Portugal 
(2011-2013 = 100) 

Sales in mg/PCU 

EU-27 

Source: DG AGRI after ESVAC, Tenth ESVAC Report (2020) 

HRI 1 
Source: EUROSTAT [aei_hri]  

HRI 1 for EU-27 

2.10  Cross-cutting objective on knowledge, innovation and digitalisation 

The  Agricultural  Knowledge  and  Innovation  Systems  (AKIS)  in  Portugal  has  been 
characterised as weak and fragmented. A weak AKIS indicates low influence, low resource 
allocation,  and  low  access  and  benefits  to  farmers.  Furthermore,  Portugal’s  AKIS  is  also 
fragmented: knowledge networks operate with little cooperation and coordination121,122.  

Portuguese advisory organisations are dominated by farmer-based organisations, while public 
advisory services have a limited presence. The advisory sector features a weak dialogue with 
other  AKIS  actors.  Furthermore,  the  agricultural  research  system  seems  to  have  weak 
connections  to  both  advisors  and  farmers123.  A  representation  of  advisors  as  partners  in 
European Innovation Partnership (EIP-AGRI) Operational Groups is also lacking, as well as 
in trainings under the Rural Development Programme124.  Also under the RDP, the number of 
beneficiaries advised remained at only 281 from 2016 to 2018125. Overall, this shows a weak 
engagement of the advisory sector. 

Portugal  has  launched  119  Operational  Group  (OG)  projects  under  the  EIP-AGRI,  ranking 
among the highest number of OG projects per country in the EU126, accounting for 70% of 
the  national  target  for  the  2014  -  2020  RDP  and  8%  of  all  EU  OGs  currently  launched  or 
finished. According to the available data at the EU level, OG partnerships are characterised 
by  a  high  participation  of  small  and  medium-sized  enterprises  (SMEs),  with  circa  40%  of 
overall partners127 against ca 25% of researchers and only 9% of farmers. 

The National Rural Network (NRN) is the national interlocutor of the EIP-AGRI, and has the 
objective of promoting the EIP and support initiatives of innovation, knowledge sharing and 
dissemination  of  OG  results.  The  Portuguese  NRN  has  established  a  permanent  working 
group  on  innovation,  which  aims  to  integrate  producers,  identify  common  problems  and 
ensure the networking of all innovation support agents128. The Portuguese rural network has 
been  active  in  networking  actors  from  research  and  Horizon  2020  consortia  with  practice 
(farmers, advisors and others). This positive experience can provide the basis for the future 
national  CAP  network  –  namely  for  its  innovation  strand  -  to  step  up  efforts  in  promoting 
synergies between the CAP and European Research Area (ERA) and help make use of up-to-
date  scientific  information  for  agricultural  practices.  For  example  by  establishing  regular 
links  with  the  Horizon  National  Contact  Points  intensifying  the  dissemination  of  the 
information  on  the  EIP  website  and  setting  up  knowledge  platforms  (supporting  advisory 
back-offices).  

23 

 
 
 
In 2016, about half of farm managers in Portugal had practical experience only, while 2.5% 
of farm managers completed full agricultural training. Although this is an increase of almost 
35% since 2010, farm managers with full training in Portugal remain below the EU average 
of 8.9% of total managers. The highest percentage of fully trained farm managers in Portugal 
is within young farmers (15% of total of farmers with less than 35 years old). Regionally, full 
training  is  higher  in  the  southeast  of  the  country129,130.  In  2018,  training  had  reached  3704 
participants, roughly double of the previous year131. Despite the increase, it corresponds to a 
low share of the total farmers in Portugal (603.7 thousand in 2016).  

Portugal  has  devoted  1.7%  of  its  2014-2020  Rural  Development  budget  for  knowledge 
transfer  and  innovation  measures,  well  below  the  EU-28  average  of  3,8%132.  The  planned 
budget for these measures has further decreased over time, with a cut of at least 50% for the 
first two measures in the latest approved budget. The actual spending of the planned budget 
to date varies between 24% and 49% 

In terms of digitalisation, in the overall ranking of the Digital Economy and Society Index, 
which  covers  the  dimensions  connectivity,  human  capital,  use  of  internet,  integration  of 
digital  technologies  and  public  digital  public  services,  Portugal  ranks  below  EU  average, 
performing particularly weakly in the categories human capital and use of internet services.133 
Looking  specifically  at  the  differences  between  rural  and  urban  areas,  a  gap  between  them 
can be identified in terms of rural broadband coverage and level of digital skills.  

NGA broadband coverage in rural areas increased significantly from 38.4% in 2016 to over 
69.4% in 2019 (DESI Scoreboard). It remains below the national average of 83% but is above 
the  EU-27  average  for  rural  areas  of  59.3%  coverage134.  In  2019,  a  significant  gap  existed 
between the share of people with at least basic digital skills in rural areas (36.7%) compared 
to  urban  areas  (59.8%)135.  This  also  was  lower  than  the  EU-27  average  of  49.3%  in  rural 
areas136. A high percentage of the population has never used the internet (22% against 9.5% 
in the EU in 2019) and access varies greatly between regions137. 

Portugal  has  not  yet  opted  for  the  use  of  satellite-based  means  to  monitor  CAP 
implementation.  There  are  5  Digital  Innovation  Hubs  related  to  agriculture,  hunting  and 
forestry138, which aim to  assist  companies in  improving competitiveness  through the use of 
digital technologies. 

Agricultural training of farm managers below 35 years in Portugal 

Managers with full agricultural 
training 

Managers with basic agricultural 
training 

Full training EU average 

Basic training EU average 

Source: EUROSTAT [ef_mp_training] 

24 

 
 
 
 
Broadband coverage in Portugal 

NGA broadband (% of rural households) 

Broadband access (% of rural households) 

NGA broadband (% of total households) 

Source: DESI report  

25 

 
 
 
1   Hristov, J., Toreti, A., Pérez Domínguez, I., Dentener, F., Fellmann, T., Elleby C., Ceglar, A., Fumagalli, D., 
Niemeyer,  S.,  Cerrani,  I.,  Panarello,  L.,  Bratu,  M.  JRC  Technical  Report  –  Analysis  of  climate  change 
impacts on EU agriculture by 2050. Luxembourg, 2020.  
https://ec.europa.eu/jrc/sites/jrcsh/files/pesetaiv_task_3_agriculture_final_report.pdf  

2   EUROSTAT [urt_gind3], [urt_lfe3emp] and [urt_d3area]. 
3   EUROSTAT [ef_m_farmang]. 
4   European  Commission.  CAP  context  indicator  C.24  Agricultural  training  of  farm  managers.  Based  on 

EUROSTAT [ef_mp_training]. 

5   European  Commission.  CAP  indicators  –  Data  explorer.  CAP  impact  indicator  IMP_01  Agricultural 

entrepreneurial income. 

6   European Commission. CAP indicators – Data explorer.  CAP Impact indicator IMP_06 Agricultural trade 

balance. Based on EUROSTAT Comext 

7   European Commission. CAP indicators – Data explorer. CAP impact indicator IMP_14 Rural employment 

rate. 

8   European  Commission.  Common  Agricultural  Policy  context  indicator  C.26  Agricultural  entrepreneurial 
income.  Income  based  on  EUROSTAT  [aact_eaa04],  [aact_ali01]  and  [aact_eaa06],  adding  back  the 
compensation  of  employees  to  the  entrepreneurial  income  and  divided  by  the  total  number  of  annual 
working  units.  Note:  2019  data  estimated.  The  Average  wage  in  the  economy  based  on  EUROSTAT 
[nama_10_a10_e]  thousand  hours  worked  using  employees’  domestic  concept  and  [nama_10_a10],  item 
wages and salaries 

9   Ibid. 
10   European  Commission.  CAP  indicators  –  Data  explorer.  CAP  Result  indicator  RPI_  01  Share  of  direct 

support in agricultural income. 

11   European  Commission.  EC(2020)  2291  approving  the  decision  of  Portugal  to  use  for  the  year  2020  more 
than  13  %  of  its  annual  national  ceiling  set  out  in  Annex  II  to  Regulation  (EU)  No  1307/2013  of  the 
European  Parliament  and  of  the  Council  establishing  rules  for  direct  payments  to  farmers  under  support 
schemes within the framework of the common agricultural policy, for financing the coupled support. 

12   European  Commission.  CAP  indicators  –  Data  explorer.  CAP  Result  indicator  RPI_  01  Share  of  direct 

support in agricultural income. 

13   European  Commission.  Note  on  Distribution  of  direct  payments  80-20  -  update  with  claim  year  2018.  
Directorate  General  for  Agriculture  and  Rural  Development  own  calculations  based  on  FADN  (Farm 
Accountancy Data Network) data (up to 2018) and CATS (Clearance of Accounts Trailing System)  data (up 
to 2018). 

14   European  Commission.  Note  on  Distribution  of  direct  payments  and  income  –  background  analysis. 
Directorate  General  for  Agriculture  and  Rural  Development  own  calculations  based  on  FADN  (Farm 
Accountancy  Data  Network)  data  (2015)  and  CATS  (Clearance  of  Accounts  Trailing  System)  data  (up  to 
2017). 

15   Farm Accountancy Data Network. FADN Standard reports. YEAR.COUNTRY.TF14 and own calculations 

(up to 2018) 

16   European Commission. Directorate General for Agriculture and Rural Development own calculations based 

on data from GPP based on CEA/INE provided by the Portuguese government.  

17   European  Commission.  Directorate-General 

(European 
Commission),  ECORYS,  Wageningen  Economic  Research.  Study  on  risk  management  in  EU  agriculture. 
Final report. [https://op.europa.eu/s/omTz] 

for  Agriculture  and  Rural  Development 

18   Factsheet on 2014-2020 Rural Development Programme for Portugal Continente. 
19   Portuguese  Government.  Ministério  da  Agricultura  e  do  Mar.  Decreto-Lei  n.º  162/2015  de  14  de  Agosto. 
https://data.dre.pt/eli/dec-
Série 

2015-08-14 

158/2015, 

de 

I 

n.º 
Diário 
lei/162/2015/08/14/p/dre/pt/html  

da  República 

20   European  Commission.  Directorate-General 

(European 
Commission),  ECORYS,  Wageningen  Economic  Research.  Study  on  risk  management  in  EU  agriculture. 
Final report. [https://op.europa.eu/s/omTz] 

for  Agriculture  and  Rural  Development 

21   Ibid. 
22   Financing Institute  for Agriculture and Fisheries, I.P. (Instituto de Financiamento da  Agricultura  e Pescas, 

I.P.).  (2019).  

23   GPP (VPP < 8.000 €) Reduced means (VPP >= 8 000 e < 25 000 €), 
24   Instituto  Nacional  de  Estatística,  I.P.  Inquérito  à  Estrutura  das  Explorações  Agrícolas  2016. 
https://www.ine.pt/ngt_server/attachfileu.jsp?look_parentBoui=311060046&att_display=n&att_download=y   

26 

 
 
 
                                                           
 
25   European Commission. EUROSTAT. [ef_lf_leg].  
26   European  Commission.  CAP  context  indicator  C.27  Total  factor  productivity.  Based  on  EUROSTAT 

[aact_eaa05], [aact_eaa04], [aact_ali01], [apro_cpsh1] and [ef_mptenure] and FADN 

27   Portuguese  Ministry  of  Agriculture,  Estratégia  para  investigação  e  inovação  agroalimentar  e  florestal  no 

período 2014-2020. 2014. 

28   Gabinete de Planeamento, Políticas e Administração Geral (GPP), from National Statistics Institute 
29   Gabinete  de  Planeamento,  Políticas  e  Administração  Geral  (GPP)  from  Economic  Accounting  for 

Agriculture- National Statistics Institute  

30   Gabinete de Planeamento, Políticas e Administração Geral (GPP) from National Statistics Institute and PO 

annual report 

31   AGRI elaboration from MS PO Annual report for the F&V sector 
32   Study 

organisations 

agricultural 

interbranch 

on 

(IBOs) 

in 

the  EU.  Portugal, 

2016. 

https://ec.europa.eu/info/sites/info/files/food-farming-fisheries/key_policies/documents/ext-study-
interbanch-organisations-portugal_2016_en.pdf  

33   European Commission. Commission Staff Working Document – Impact assessment Initiative to improve the 

food supply chain (unfair trading practices). SWD(2018) 92 final.  

34   E-ambrosia 
35   European 

Environmental  Agency 

(EEA). 

EEA 

greenhouse 

gas 

– 

data 

viewer. 

https://www.eea.europa.eu/data-and-maps/data/data-viewers/greenhouse-gases-viewer  

36   European  Commission.  CAP  context  indicator  C.45  Emissions  from  agriculture.  Based  on  EUROSTAT 

[env_air_emis], original source European Environmental Agency (UNFCC_v22).  

37   European Commission. EUROSTAT. [ef_lf_leg].  
38   European Commission.  CAP context indicator C.21 Livestock units.  Based on EUROSTAT [ef_lsk_main], 

[ef_lsk_poultry], [ef_lsk_bovine] and [ef_lus_main].   

39   European  Commission.  CAP  context  indicator  C.33  Farming  intensity.  Based  on  FADN  –Agri-
indicator  “Intensification/Extensification”.  https://ec.europa.eu/info/sites/info/files/food-

environmental 
farming-fisheries/farming/documents/cap-context-indicators-table_2019_en.pdf 

40   European Environment Agency (EEA). EEA greenhouse gas – data viewer. https://www.eea.europa.eu/data-

and-maps/data/data-viewers/greenhouse-gases-viewer  

41   Portuguese Environmental Agency. Pereira., T. C., Amaro, A., Borges, M., Silva, R., Pina, A., Canaveira, P. 
Portuguese  National  Inventory  Report  on  Greenhouse  Gasesgases,  1990  –  2017.  Amadora,  2019. 
https://www.apambiente.pt/_zdata/Inventario/March2019/NIR_global_2019_(15_March).pdf  

42   European  Commission.  CAP  context  indicator  C.41  Soil  organic  matter  in  arable  land.  Joint  Research 

Center (JRC) based on LUCAS Land Use Survey 2015.  

43   Joint  Research  Centre  (JRC)  –  European  Soil  Data  Centre  (ESDAC).  Relative  cover  (%)  of  peat  soils  (0–
country. 
per 

30cm), 
https://esdac.jrc.ec.europa.eu/ESDB_Archive/octop/Resources/Peatland_Per_Country.pdf  

44   European Commission.  CAP  context indicator C.43 Production of renewable energy  from agriculture and 

forestry. Based on EUROSTAT [nrg_bal_c] and [nrg_cb_rw], and Strategie Grains. 

45   European Commission.  CAP  context indicator C.44 Energy use in agriculture, forestry  and food industry. 

Based on EUROSTAT [nrg_bal_s]. 

46   National Energy and Climate Plan 2021-2030 (NECP 2030). Portugal, 2019. 

https://ec.europa.eu/energy/sites/ener/files/documents/pt_final_necp_main_en.pdf  

47   Ministério da Agricultura, do Mar, do Ambiente e do Ordenamento do Território.  Estratégia de Adaptação 

da Agricultura e das Florestas às Alterações Climáticas – Portugal continental. 2013. 
https://apambiente.pt/_zdata/Politicas/AlteracoesClimaticas/Adaptacao/ENAAC/RelatDetalhados/Relat_Seto
r_ENAAC_Agricultura.pdf   

48   Presidência do Conselho de Ministros. Action Programme for Adaptation to Climate Change (Resolução do 
Conselho  de  Ministros  n.º  130/2019.  Diário  da  República,  1.ª  série,  N°147.  Portugal,  2019.  Pages  10-45. 
(https://dre.pt/application/file/a/123610736)  

49   European  Commission.  Agri-food  Data  Portal  CAP  Indicators,  Climate  Change  &  Air  Quality  -  (EU27). 

Rural Development financial contribution to climate action – EU(%). 
https://agridata.ec.europa.eu/extensions/DashboardIndicators/Climate.html?select=EU27_FLAG,1Agri-food 
Data 
Portalhttps://agridata.ec.europa.eu/extensions/DashboardIndicators/Climate.html?select=EU27_FLAG,1  
50   National  Energy  and  Climate  Plan  2021-2030  (NECP  2030)  and  DG  CLIMA.  Portugal,  2019. 

https://ec.europa.eu/energy/sites/ener/files/documents/pt_final_necp_main_en.pdf 

27 

 
 
                                                                                                                                                                                     
 
51   European  Commission.  CAP  context  indicator  C.45  Emissions  from  agriculture.  Based  on  EUROSTAT 

[env_air_emisenv_air_emis], original source European Environmental Agency (UNFCC_v22).  

52   European 

Environment 

Agency 

(EEA). 

National 

Emission 

Ceiling 

Directive. 

https://www.eea.europa.eu/data-and-maps/dashboards/necd-directive-data-viewer-3  

53   European Commission.  CAP context indicator C.21 Livestock units.  Based on EUROSTAT [ef_lsk_main], 

[ef_lsk_poultry], [ef_lsk_bovine] and [ef_lus_main]. 

54   European  Commission.  Report  from  the  Commission  to  the  European  Parliament  and  the  Council  on  the 
progress made on the implementation of Directive (EU) 2016/2284 on the reduction of national emissions of 
certain atmospheric pollutants. COM/2020/266 final.  

55   European  Commission.  CAP  context  indicator  C.41  Soil  organic  matter  in  arable  land.  Joint  Research 
Center  (JRC)  based  on  LUCAS  Land  Use  Survey  2015.  https://ec.europa.eu/info/sites/info/files/food-
farming-fisheries/farming/documents/cap-context-indicators-table_2019_en.pdf 

56   European 

desertification 
https://www.eea.europa.eu/data-and-maps/figures/sensitivity-to-desertification-index-map  

Environment 

Sensitivity 

Agency 

(EEA). 

to 

index 

map. 

57   Resolução do Conselho de Ministros n.º 78/2014.Ação Nacional de Combate à Desertificação, Resolução do 
Conselho de Ministros n.º 78/2014 -Ministros n.º 78/2014. Diário da República n, 1.ª série, N.º 248., Série I, 
de 24-12-2014-. Portugal, 2014. Pages 6242 - 6259. https://dre.pt/application/file/65985917  

58   European Commission. CAP context indicator C.42 Soil erosion by water.  Original source: Joint Research 
https://ec.europa.eu/info/sites/info/files/food-farming-fisheries/farming/documents/cap-context-

Center. 
indicators-table_2019_en.pdf 

59   European  Commission.  Commission  Staff  Working  Document  –  Second  River  Basin  Management  Plans  – 

Member State: Portugal. SWD(2019) 56 final 
60   European Commission. EUROSTAT [aei_pr_gnb]. 
61   European  Commission.  Report  from  the  Commission  to  the  Council  and  the  European  Parliament  on  the 
implementation  of  Council  Directive  91/676/EEC  concerning  the  protection  of  waters  against  pollution 
caused  by  nitrates  from  agricultural  sources  based  on  Member  State  reports  for  the  period  2012-2015., 
COM(2018) 257 final.  

62   European 

in 
(EEA).  Use 
https://www.eea.europa.eu/data-and-maps/indicators/use-of-freshwater-resources-3/assessment-4   

Environment  Agency 

freshwater 

resources 

of 

Europe. 

63   Commission  Staff  Working  Document  –  The  EU  Environmental  Implementation  Review  2019,  Country 

Report – Portugal. SWD(2019) 129 final.  

64   European Commission. CAP context indicator C.39 Water abstraction in agriculture. Based on EUROSTAT 

[env_wat_abs].  

65   Ibid. 
66   European Commission. EUROSTAT [tai03]. 
67   European  Commission.  Commission  Staff  Working  Document  –  The  EU  Environmental  Implementation 

Review 2019, Country Report – Portugal. SWD(2019) 129 final.  

68   ISSAME Form 545 
69   European  Commission.  CAP  context  indicator  C.36  Conservation  status  of  agricultural  habitats.  Original 

source: European Environmental Agency.  

70   Joint  Research  Center  (JRC).  LUCAS  Survey  2015  —  NUTS  3  average  number  of  linear  elements  per 
transect with agriculture as main land cover. https://ec.europa.eu/eurostat/documents/4031688/8503684/KS-
01-17-069-EN-N.pdf/91e45d7a-ee8c-47ea-a666-f49600d1ee6c 

71   European  Commission.  CAP  context  indicator  C.34  Natura  2000  areas.  Based  on  NATURA  2000 

Barometer and European Environmental Agency, Corine Land Cover 2018.  

72   European Commission. EUROSTAT [org_cropar] 
73   European Commission. EUROSTAT [org_cropar] 
74   Under 35 year olds and under 40 years old in the outermost regions. 
75   Data  based  on 

survey  made 

a 

in  2015, 
https://ec.europa.eu/agriculture/sites/agriculture/files/external-studies/2015/young-farmers/country-
reports/annex-i.22-portugal.pdf 

for  EU-28 

,  within  EU  pilot  project : 

76   European Commission. CAP context indicator C.23 Age structure of farm managers. Based on EUROSTAT 

[ef_m_farmang] 

77   European Commission. DG AGRI. The Young Farmer Payment under Pillar I of the Common Agricultural 

Policy. 2016. 

78   Continente Rural Development Programme. 

28 

 
 
                                                                                                                                                                                     
 
79   European  Commission.  FI  Compass.  EAFRD 

financial 

instrument 

in  Portugal.  https://www.fi-

compass.eu/sites/default/files/publications/EAFRD%20financial%20instrument%20in%20Portugal.pdf  
80   EUROSTAT uses two types of definitions for rural areas. The first one is considers the Local Administrative 
Units (LAU) level (freguesias in Porugal), and is called 'degree of urbanisation'. It provides a breakdown of 
data by cities, towns and suburbs and rural areas. The second is based on a classification at the NUTS-3 level 
(subregiões  in  Portugal),  and  is  referred  to  as  'rural-urban  typology'.  It  provides  a  breakdown  by  urban, 
intermediate and rural areas.   

81   European  Commission.  CAP  context  indicator  C.03  -  Territory  (Rural-urban).  Based  on  EUROSTAT 

[reg_area3] and [urt_d3area] 

82   European  Commission.  CAP  context  indicator  C.01  –  Population  (Rural-urban).  Based  on  EUROSTAT 

[demo_r_gind3] 

83   European Commission. CAP context indicator C.02 – Age structure (Rural-urban). Based on EUROSTAT 

[demo_r_pjanaggr3] 

84   European  Commission.  CAP  context  indicator  C.04  –  Population  density  (rural-urban).  Based  on 

EUROSTAT [demo_r_d3dens] and [urt_d3dens] 

85   Copus  et  al.,  Interim  report  ESCAPE  European  Shrinking  Rural  Areas:  Challenges,  Actions  and 

Perspectives for territorial Governance. ESPON Escape project 2020. 

86   European Commission. Commission Staff Working Document – Impact of demographic change. SWD(2020) 

109 final 

87   European  Commission.  CAP  Context  indicator  C.05  -  Employment  rate  –  (Degurba  typology).  Based  on 

EUROSTAT [lfst_r_ergau] 

88   European Commission. CAP Context indicator C.05 - Employment rate (Degurba). Based on EUROSTAT 

[lfst_r_ergau] 

89   European Commission. CAP Context indicator C.05 - Employment rate (Degurba). Based on EUROSTAT 

[lfst_r_ergau] 

90   European Commission. CAP context indicator C.07 Unemployment rate (Degurba). Based on EUROSTAT 

[lfst_r_lfu3rt] 

91   European Commission. Young people neither in employment nor in education and training by sex, age and 

degree of urbanisation (NEET rates) EUROSTAT [edat_lfse_29] 

92   Ibid 
93   European Parliament. Franic, R. and Kovacicek, T. The professional status of rural women in the EU. (2019) 
94   European Commission. CAP context indicator C.08 GDP per capita (Rural-urban). Based on EUROSTAT 

[nama_10r_3gdp] and [nama_10r_3popgdp] 

95   European  Commission.  CAP  context  indicator  C.10  Structure  of  the  economy  (Rural-urban).  Based  on 

EUROSTAT [nama_10r_3gva] 

96   European  Commission.  CAP  context  indicator  C.30  Tourism  infrastructure  (Degurba).  Based  on 

EUROSTAT [tour_cap_nuts2d] 

97   European  Commission.  CAP  context  indicator  C.09  Poverty  rate  (Degurba).  Based  on  EUROSTAT 

[ilc_peps11] 

98   European Commission. Factsheet on Community Led Local Development (CLLD). 2014. 
99   Managing Authority – Continente Rural Development Programme 
100  Food  and  Agriculture  Organisation  of  the  United  Nations  (FAO).  FRA  2020  Database  Global  Forest 

Resources Assessement . 2020. 

101  Instituto da Conservação da Natureza e Florestas (ICNF). Perfil Florestal do Portgual. 2018   
102  European Commission. CAP context indicator C.15 Labour productivity in forestry. Based on EUROSTAT 

[for_eco_cp] and [for_awu] 

103  European Commission. EUROSTAT [nama_10_a64] 
104  European Commission. Jobs and wealth in the EU Bioeconomy. JRC. 
105  European Commission. Jobs and wealth in the EU Bioeconomy. JRC 
106  European  Medicines  Agency,  European  Surveillance  of  Veterinary  Antimicrobial  Consumption  (ESVAC). 
Sales of veterinary antimicrobial agents in 31 European countries in 2018. Trends from 2010 to 2018 Tenth 
ESVAC Report. EMA/24309/2020. 

107  European Commission. EUROSTAT [AEI_FM_SALPEST09] 
108  PLANO ESTRATÉGICO DA PAC 2023-2027: 

https://www.gpp.pt/images/PEPAC/Draft_Diagnstico_OE9_Novembro_2020.pdf 

109  European  Commission,  DG(SANTE)  2019-6719  Final  report  of  an  audit  carried  out  in  Portugal  from  19 
January  2019  to  07  February  2019  in  order  evaluate    the  implementation  of  measures  to  achieve  the 
sustainable use of pesticides: 

29 

 
 
                                                                                                                                                                                     
 
https://ec.europa.eu/food/audits-analysis/audit_reports/details.cfm?rep_id=4165  

110  Pesticide sales. Retrieved from: European Commission. As in EUROSTAT [AEI_FM_SALPEST09] 
111  European Commission. Harmonised Risk Indicator for pesticides (HRI 1), by group of active substance. As 

in EUROSTAT [SDG_02_51] 

112  PLANO ESTRATÉGICO DA PAC 2023-2027: 

https://www.gpp.pt/images/PEPAC/Draft_Diagnstico_OE9_Novembro_2020.pdf  

113  European  Commission,  DG(SANTE)  2019-6750  Final  report  of  an  audit  carried  out  in  Portugal  from  13 
May  2019  to  17  May  2019  in  order  to  evaluate  Member  State  activities  to  prevent  tail-biting  and  avoid 
routine tail-docking of pigs: https://ec.europa.eu/food/audits-analysis/audit_reports/details.cfm?rep_id=4189 
https://ec.europa.eu/info/sites/info/files/food-farming-

114  European 

Commission, 

dashboard: 

Eggs 

fisheries/farming/documents/eggs-dashboard_en.pdf  

115  PLANO ESTRATÉGICO DA PAC 2023-2027: 

https://www.gpp.pt/images/PEPAC/Draft_Diagnstico_OE9_Novembro_2020.pdf 

116  PLANO ESTRATÉGICO DA PAC 2023-2027: 

https://www.gpp.pt/images/PEPAC/Draft_Diagnstico_OE9_Novembro_2020.pdf 

117  Health and nutritional aspects of sustainable diet strategies and their association with environmental impacts: 

a global modelling analysis with country-level detail: 
https://www.thelancet.com/journals/lanplh/article/PIIS2542-5196(18)30206-7/fulltext 

118 European Commission. EUROSTAT [SDG_02_10]. 
119  Portugal, National Commmission to Combat Food Waste, https://www.cncda.gov.pt/  
120  Plano Estratégico para os Resíduos Urbanos: 

http://apambiente.pt/_zdata/DESTAQUES/2014/RelatorioPropostaPERSU2020_Fev14_v2.pdf  

121  Knierim, A., PRO AKIS, European Commission 7th Framework Programme project PRO AKIS, European 
Commission  7th  Framework  Programme  project  Knierim,  A.,  Prager,  K.  Agricultural  Knowledge  and 
Information 
integrated? 
2015.file://net1.cec.eu.int/homes/085/sanalin/Desktop/OVERVIEW.OF.AKIS.IN.EUROPE.AKIS_character
isation_briefing_final.pdf  

Europe:  Weak 

fragmented 

Systems 

strong, 

or 

or 

in 

122  Baptista, A., Cristovão, A., Koehnen, T., Madureira, L., Pires, M. AKIS and advisory services in Portugal - 
ReportReport  for  the  AKIS  inventory  (WP3)  of  the  PRO  AKIS  project.  2014.  https://430a.uni-
hohenheim.de/fileadmin/einrichtungen/430a/PRO_AKIS/Country_Reports/Country_Report_Portugal_16_05
_2014.pdf  

123  Ibid. 
124  European Commission. CAP Indicator - Data explorer. CAP Output indicator OIR_14 Number of advisors 

trained. 
https://agridata.ec.europa.eu/extensions/DashboardIndicators/DataExplorer.html?select=EU27_FLAG,1 
125  European  Commission.  CAP  Indicator  -  Data  explorer.  CAP  Output  indicator  O.OIR_13  Number  of 

beneficiaries advised. 
https://agridata.ec.europa.eu/extensions/DashboardIndicators/DataExplorer.html?select=EU27_FLAG,1 

126  EIP-AGRI. 

Projects 

–  Operational  Groups. 

https://ec.europa.eu/eip/agriculture/en/eip-agri-

projects/projects/operational-
groups?search_api_views_fulltext_op=OR&search_api_views_fulltext=&field_proj_geographical_area%5B
0%5D=173   

127  Member state notifications to the Directorate General for Agriculture and Rural Development based on the 

latest adopted version of the Rural Development Programme at January 2020 

128  National  Rural  Network.  Inovação  para  a  Agricultura.    https://inovacao.rederural.gov.pt/centros-de-

competencias/14-centros-de-competencias/18-forum-de-inovacao  

129  European Commission. CAP context indicator C.23 Age structure of farm managers. Based on EUROSTAT 
https://ec.europa.eu/info/sites/info/files/food-farming-fisheries/farming/documents/cap-

[ef_m_farmang]. 
context-indicators-table_2019_en.pdf 

130  European  Commission.  CAP  context  indicator  C.24  Agricultural  training  of  farm  managers.  Based  on 
https://ec.europa.eu/info/sites/info/files/food-farming-

EUROSTAT 
fisheries/farming/documents/cap-context-indicators-table_2019_en.pdf 

[ef_mp_training]. 

131  European  Commission.  CAP  Indicator  -  Data  explorer.  CAP  Output  indicator  OIR_12  Number  of 

participants in trainings. 
https://agridata.ec.europa.eu/extensions/DashboardIndicators/DataExplorer.html?select=EU27_FLAG,1 
132  European  Commission.  CAP  Indicator  -  Data  explorer.  CAP  Output  indicator  OIR_01  Total  public 

expenditure. https://agridata.ec.europa.eu/extensions/DashboardIndicators/DataExplorer.html  

30 

 
 
                                                                                                                                                                                     
 
 
133  European  Commission.  Digital  Economy  and  Society 
https://ec.europa.eu/digital-single-market/en/scoreboard/portugal  

Index 

(DESI)  2020  –  Portugal. 

134  European  Commission.  Digital  economy  and  society  index  (DESI)  –  Rural  NGA  broadband  coverage. 

https://digital-agenda-data.eu/charts/see-the-evolution-of-an-indicator-and-compare-
countries#chart={"indicator-
group":"broadband","indicator":"bb_rngacov","breakdown":"total_pophh","unit-measure":"pc_hh_all","ref-
area":["EU","PT"]}  

135  European Commission.  Digital economy  and society index (DESI)  – Individuals with at least basic digital 
https://digital-agenda-data.eu/charts/see-the-evolution-of-an-indicator-and-compare-

skills. 
countries#chart={"indicator-group":"ict-skills","indicator":"i_dsk_bab","breakdown":"ind_deg3","unit-
measure":"pc_ind","ref-area":["EU","PT"]}  

136  Ibid. 
137  European Commission. Commission Staff Working Document - Country Report Portugal 2020. SWD(2020) 

521 final. 
138  European 

Commission. 

Smart 

Specialisation 

Platform 

–  Digital 

Innovation  Hubs. 

https://s3platform.jrc.ec.europa.eu/digital-innovation-hubs-tool 

31