Research and Markets: Portugal's Austerity Measures Resulting In The Defense Budget Declining At A CARC Of -0.45% During The Forecast Period To Reach US$3.1 Billion By 2015

DUBLIN--()--Research and Markets( has announced the addition of iCD Research's new report "The Portuguese Defense Industry - Market Opportunities and Entry Strategies, Analyses and Forecasts to 2015" to their offering.

Key Highlights

The Defense Ministry of Portugal's budget represented 1.4% of GDP in 2010, standing at US$3.1 billion. The country's defense budget grew strongly at a CAGR of 8.58% during the review period, but with a soaring national debt, the government was forced to adopt austerity measures which are expected to result in the defense budget declining at a CARC of -0.45% during the forecast period to reach US$3.1 billion by 2015.

Military modernization plans and participation in peacekeeping missions are the primary forces driving Portugal's defense budget, the majority of which is spent such on revenue expenditure such as the salaries and pensions of armed personnel, and operational and maintenance costs. Capital expenditure, which includes expenditure for equipment procurement, constituted an average of 17.2% of the defense budget during the review period and is expected to decrease to an average of 16.9% during the forecast period.

The reduction in troop numbers is expected to bring down the allocation for land forces from an average of 35.7% during the review period to 30.1% during the forecast period. The allocation for the navy is expected to decline marginally from an average of 26.4% during the review period to an average of 26.1% during the forecast period, while the allocation for the air force is expected to decline from an average of 20.7% during the review period to an average of 19.1% during the forecast period. The allocation to common support services is expected to increase from an average of 15.0% during the review period to an average of 22.6% during the forecast period, to help the domestic defense industry to integrate with the European defense industry value chain


  • Top level overview of the Portuguese defense industry
  • A breakdown of the Portuguese defense industry by spend pattern valued from 2006 through 2010 and forecasted from 2011 through 2015
  • A breakdown of the markets by segment valued from 2006 through 2010 and forecasted from 2011 through 2015
  • Details of top companies active across the Portuguese defense industry
  • Emerging trends and opportunities in the Portuguese defense industry in the last 12 months

This report offers insights into the market opportunities and entry strategies adopted by foreign OEMs (original equipment manufacturers) to gain a market share in the Portuguese defense industry. In particular, it offers in-depth analysis of the following:

  • Market opportunity and attractiveness: detailed analysis of the current industry size and growth expectations during 2011-2015, including highlights of the key growth stimulators. It also benchmarks the industry against key global markets and provides detailed understanding of emerging opportunities in specific areas.
  • Procurement dynamics: trend analysis of imports and exports, together with its implications and impact on the Portuguese defense industry.
  • Industry structure: five forces analysis to identify various power centers in the industry and how these are likely to develop in the future.
  • Market entry strategy: analysis of possible ways to enter the market, together with detailed descriptions of how existing players have entered the market, including key contracts, alliances, and strategic initiatives.
  • Competitive landscape and strategic insights: analysis of competitive landscape of the defense industry in Portugal. It provides an overview of key defense companies (both domestic and foreign), together with insights such as key alliances, strategic initiatives, and a brief financial analysis.
  • Business environment and country risk: a range of drivers at country level, assessing business environment and country risk. It covers historical and forecast values for a range of indicators, evaluating business confidence, economic performance, infrastructure quality and availability, labor force, demographics, and political and social risk.

Companies Mentioned:

  • OGMA
  • Indstria Aeronutica de Portugal SA
  • EID - Empresa de Investigao e Desenvolvimento de Electrnica SA
  • Edisoft
  • ENVC
  • Indra Sistemas Portugal
  • AgustaWestland Portugal
  • Arsenal Alfeite
  • Fabrequipa
  • Critical Software
  • Aero Voo de Portugal, LDA
  • Instituto Geogrfico do Exrcito

For more information visit


Research and Markets
Laura Wood, Senior Manager
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716


Research and Markets
Laura Wood, Senior Manager
U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716