Distributing a product

Evolution of the sector

Modern forms of distribution appeared very late in Portugal compared with other European countries. The modern distribution market appeared in 1961 with the opening of the first supermarket in Lisbon. Until 1985, there were practically no hypermarkets or supermarkets and distribution was represented by a host of small retailers and traditional shops. It is only since 1981 that the market has grown, eliminating smaller local stores on the way.

Market shares

In 2004, hypermarkets represented 37% of distribution turnover, supermarkets 28%, local supermarkets 18.3% and local food shops barely 1.4%.
4 large groups share the market:
- the Modelo-Continente group which belongs to the Portuguese Sonae and which specialises in hypermarkets; it has become the leader of food distribution in Portugal.
- the Jeronimo Martins group: with a turnover of 3.4 billion euros in 2004, it is the second largest distributor in Portugal with the names Pingo Doce and Feira Nova.
- the French group Auchan, present in Portugal from 1970 onwards, had a turnover of 1.04 billion euros in 2003.
- the French group Carrefour, with a turnover of 470 million euros in 2004 and which has 1 hypermarket and 270 supermarkets.
The other major trend over the last few years has been the development of specialized hypermarkets: FNAC, Bricodis, Habitat, Ikea have opened.
These developments show that for the years to come there will be a constant decrease in traditional commerce and a growth in the modern forms of distribution especially hypermarkets and supermarkets which will extend their products and services more and more in the non-food sector.

Organizations in the retail sector

Portuguese Association of Distribution Companies (APED)

We can identify professional tradeshows on your sector.

Market access procedures

International Conventions

Member of World Trade Organisation
Member of OECD
Party to the Kyoto protocol
Party to the Washington convention on International trade in endangered species of wild fauna and flora
Party to the Basel convention on the Control of Transboundary Movements of Hazardous Wastes and their disposal
Party to the Montreal protocol on Substances that deplete the Ozone Layer
Wassenaar arrangement on export controls for conventional arms and dual-use goods and technologies
Party of the International coffee agreement 2001

Main International economic cooperation

Member of the European Union, of the European Economic Area, of the Schengen Area, and it belongs to other international organizations, such as the Community of Portuguese Speaking Countries.

Non tariff barriers

As it is a member of the European Union, Portugal enforces the Community regulations which are valid throughout the Union.
The main non-Customs barrier is at the level of agricultural products, ensuing from the application of the CAP (Common Agricultural Policy).

Customs duties and taxes on imports

Transactions carried out within the EEA are exempt from duties.
The Common Customs Tariff (CCT) of the European Union is applied to goods from outside the EU. In general, duties are not very high, especially for industrial products (4.2% on average).

Customs classification

Yes

Import procedures

For goods of a value under 1 000kg or 1 000 euros, a verbal declaration at Customs, and presenting the invoice, is sufficient.
For higher values, you must deposit at the Customs office:
1) a brief declaration (air or maritime manifest) to conclude the collection of the goods.
2) a common law declaration (SAD, single administrative document), as well as the accompanying documents to allow their clearance.
The SAD form can be obtained from Chambers of Commerce or an approved printer. A computerized Customs clearance platform (SOFI: International freight computer system) can be accessed in Customs offices or in some Chambers of Commerce.

In the case of deliveries and purchases within the European Community, the declaration of exchange of goods (DEB) or Intrastat declaration must be sent to the Customs service.

As part of the "SAFE" standards advocated by the World Customs Organization (WCO), the European Union has set up a new system of import controls, the "Import Control System" (ICS), which aims to secure the flow of goods at the time of their entry into the customs territory of the EU. This control system, part of the Community Program eCustomer, has been in effect since January 1, 2011. Since then, operators are required to pass an Entry Summary Declaration (ENS) to the customs of the country of entry, prior to the introduction of goods into the customs territory of the European Union.

Importing samples

For the import, export and re-export of commercial samples the ATA (Temporary Admission) carnet can be used. It must be written on the product that it is a free sample and that it may not be sold.

For further information

Directorate General of Customs
Portuguese agency for investment and foreign trade
Ministry of Foreign Affairs
Ministry of the Economy

We can indicate you which are the customs duties applied to your product.

Find out the local taxes that apply to your product.

Organizing goods transport

Main useful means of transport

Portugal wants to encourage private investors to come to the country and wants to modernize port infrastructures.
Portuguese ports handle more than 60 million tonnes of goods each year.
The road network is poor and considerable improvement is necessary.
Goods are mainly transported by rail (2,585 million tonnes-km). Substantial investment is being considered to improve the electrification and rehabilitation of the main long distance routes : Lisbon-Porto, Lisbon-the Algarve and towards Spain to the North and East.

Ports

Port of Lisbon
Port of Leixões

Airports

Airports of Portugal

Sea transport organizations

Ministry of Public Works, Transport and Communications

Air transport organizations

Ministry of Public Works, Transport and Communications

Road transport organizations

Ministry of Public Works, Transport and Communications

Rail transport organizations

National Institute of Rail Transport

Get a ballpark figure for transportation costs for your product in this country through a shipping estimate.

Identifying a supplier

Type of production

Industry represents 26% of GDP and 30% of employment. The pharmaceuticals, automobiles, biotechnologies, molds, and new information and communication technologies (NICT) industries occupied an important place in the industrial landscape.

Business directories

The Yellow Pages
Guianet
Exportugal
Directory of companies in Porto

Manufacturers associations of the main industries

Association of the automobile branch (AFIA)
Association of the mold industry (CEFAMOL)

Trade Agencies and their representations abroad

Portuguese Chamber of Commerce

Enterprises federation

The government information website for SMEs
Businessman Association of Portugal (Porto)
Portuguese Industrial Association (Lisbon)

Standards

National standards organizations

Portuguese certification association (APCER)
Portuguese quality institute (IPQ)

Integration in the international standards network

At the European level:
- CEN, European Committee for Standardization
- CENELEC, European Committee for Electrotechnical Standardization

At the international level:
- International Standard organization (ISO)
- International Electrotechnical Commission (IEC)

Classification of standards

NP, the national certfication mark
CE, European certification mark. It is compulsory for a product to be sold on the market.

Online consultation of standards

APCER, certification association

Certification organizations

Portuguese accreditation institute (IPAC)

Find out the standards and labelling requirements that apply to your products.

Intellectual Property

National organizations

The National Institute for Industrial Property, the organization for the protection of intellectual property.
The Portuguese Authors' Society for copyright
List of the institutions which manage copyright.

Regional organizations

For the protection of patents: the European Patent Office.

International membership

Signatory to the Paris Convention for the Protection of Intellectual Property
Membership to the TRIPS agreement - Trade-Related Aspects of Intellectual Property Rights (TRIPS)