Diversify Algarve · value chain 03

Citrus.

Entrepreneur profile, economic diagnosis and business dynamics.

2024

Key indicators

Empresas na fileira (2024)

638

Volume de negócios (2024)

61,7 M€

VAB (2024) · +90% vs. 2019

26,7 M€

Pessoas ao serviço (2024)

1 042

Produtividade (VAB/trabalhador)

25 488 €

Empresas em Silves (maior polo)

253

Expect to grow over the next 3 years

57%

Exportações (2024)

45,3 M€

Methodology. Economic indicators come from Statistics Portugal for 2019–2024. Entrepreneurship, outlook and innovation results are based on 7 valid responses to the Algarve Empreende 2026 survey; they should be interpreted as exploratory indicators, not as estimates for the entire value chain.

Context

The Algarve Citrus value chain corresponds to CAE 01230 — Citrus growing, including oranges, tangerines, clementines, lemons, grapefruits and other citrus fruit. It is one of the region’s main agricultural activities and one of the country’s most relevant agri-food value chains, with strong production, territorial relevance and export capacity. Production is concentrated in the Algarve barrocal — Silves, Tavira, Faro, Loulé, Olhão and Albufeira — where favourable soil and climate conditions, irrigation and organised operators combine. In 2023, the Algarve accounted for 73% of national citrus area and 87% of national production, with productivity around 28% above the country average. The value chain is essentially production-based and strongly export-oriented, especially for oranges, but is constrained by water scarcity, production costs, labour shortages and business succession.

Economic profile

Economic profile of the value chain.

Statistics Portugal economic indicators for 2019–2024.

Economic indicators

Businesses

638 businesses −4% since 2019 · 66.0% national share

Turnover

61.7 €M +70% since 2019 · 60.2% national share

Output

58.8 €M +61% since 2019 · 63.4% national share

GVA

26.7 €M +90% since 2019 · 78.7% national share

People employed

1,042 people +1% since 2019 · 64.2% national share

Net income

15.6 €M +115% since 2019

Investment / GFCF

12.9 €M +79% since 2019 · 70.1% national share

Exports

45.26 €M +112% since 2019 · operators based in the Algarve

Source: Statistics Portugal — business demography and economic indicators by CAE. Productivity = GVA per employee. “Share” = Algarve weight in the national total.

Productivity

€ / employee
  • GVA per employee25,488 € / employee

GVA per employee · +87% since 2019. Source: Statistics Portugal.

Empresas por concelho

businesses
  • Silves253 businesses
  • Tavira93 businesses
  • Faro78 businesses
  • Loulé48 businesses
  • Olhão39 businesses
  • Albufeira38 businesses
  • Portimão26 businesses
  • Lagoa20 businesses
  • V. R. Santo António14 businesses
  • Castro Marim11 businesses

Distribution of value-chain businesses across Algarve municipalities in 2024. Source: Statistics Portugal.

Business dynamics

Business births, deaths and survival.

Birth, death and two-year survival rates in citrus production.

Business dynamics

%

Birth rate

12.8 % +5.2 pp

Death rate

12.9 % +8.0 pp

Two-year survival

31 % −4.7 pp

Statistics Portugal, 2019–2023. Source: Statistics Portugal.

Entrepreneur profile

Who develops activity in the value chain.

Sample of 7 valid responses to the Algarve Empreende 2026 survey; not statistically representative.

Profile indicators

%

Algarve entrepreneurs

71 %

Higher education or above

57 %

60 years or over

43 %

Family tradition

71 %

Source: Algarve Empreende 2026 survey.

Education level

%
  • Basic education29 %
  • Secundário14 %
  • Higher education43 %
  • Pós-graduação14 %

Distribution of respondent entrepreneurs. Source: survey.

Age

%
  • 40–49 years14 %
  • 50–59 years43 %
  • 60 years or over43 %

Distribution of respondent entrepreneurs. Source: survey.

Reasons for starting the business

%
  • Personal interest / vocation42 %
  • Continuation of family activity33 %
  • Market opportunity8 %
  • Return to the land8 %
  • Commercialising family production8 %

Multiple responses. Source: survey.

Start-up challenges

%
  • Bureaucracy / licensing29 %
  • Access to funding14 %
  • Lack of technical information14 %
  • Production costs14 %
  • No relevant difficulty14 %
  • Market access7 %
  • Access to labour7 %

Multiple responses. Source: survey.

Fontes de financiamento no arranque

%
  • Fundos próprios88 %
  • Crédito bancário13 %

Multiple responses. Source: survey.

Growth and expectations

Value-chain outlook.

Algarve Empreende 2026 survey results on growth, expansion and business succession.

Growth and expectations

%

Expect to grow over the next 3 years

57 %

Business expanding

29 %

With a succession plan

71 %

Encerram mais do que criam

57 %

Source: Algarve Empreende 2026 survey (n = 7).

Innovation, R&I and trends

Innovation and collaboration with the research system.

Innovation practices, R&I collaboration and trends identified by respondent entrepreneurs.

Innovation, R&I and collaboration

%

Introduced innovation in the last 5 years

57 %

Collaborated with the R&I system

73 %

Interesse elevado em I&D aplicada

43 %

Associations / cooperatives: R&I partner

50 %

Source: Algarve Empreende 2026 survey.

Identified trends

%
  • Environmental sustainability18 %
  • Promotion of local products18 %
  • New markets / exports14 %
  • Tourism linked to the value chain14 %
  • Digitalisation5 %

Multiple responses. Source: survey.

Sources and resources

Sources, methodology and downloads.