Portugal » Introduction

Basic Economic Facts

GDP composition by Sector

Natural resources such as copses cover about 34% of the country, namely pine trees (13,500 km²; 5,200 sq mi), cork oak (6,800 km²; 2,625 sq mi), holm oak (5,340 km²; 2,060 sq mi), and eucalyptus (2,430 km²; 940 sq mi). The large-scale growing of eucalyptus for the paper and woodchip industries has been controversial, as eucalyptus trees have very deep roots, and lead to a lowering of the water table. This has been a contributory factor in the high rate of arson, as failing farmers vent their frustrations. Cork is a major export, Portugal produces half of the world's cork. Significant mining resources are tungsten, tin, and uranium.

Portugal's balance of trade is negative. It buys mostly in the European Union from: Spain, Germany, France, Italy, and the United Kingdom. It also sells most of its products within the union to: Germany, Spain, and France mostly.

Portugal is trying to develop a cultural and rustic tourism, rather than only beach tourism, in order to attract more affluent tourists often concerned in getting to know the real Portugal. The interior of the nation has a decreasing population, but exceptional touristic potential. The Algarve, with its different beaches has been the primary attraction for decades, but it has suffered from mass tourism, and the authorities have been working to recover the 1960's Algarve, namely recovering the coast. Mass tourism has caused some ecological damage in the Algarve, for example water shortages. The Lisbon area has recently become a very popular destination, mostly due to the city of Lisbon urban historical attractions, but also due to Sintra's fabled palaces and castles located in very romantic scenery. The island territories of Madeira and the Azores also have a growing potential.