Madeira, uninhabited at the time, was claimed by Portuguese sailors in the service of Prince Henry the Navigator in 1419 and settled after 1420. The archipelago is the first territorial discovery of the exploratory period of the Age of Discovery.
Madeira is a year-round resort, particularly for Portuguese, but also British (148,000 visits in 2021), and Germans (113,000).[13] It is by far the most populous and densely populated Portuguese island. The region is noted for its Madeira wine, flora, and fauna, with its pre-historic laurel forest, classified as a UNESCO World Heritage Site. The destination is certified by EarthCheck.[14] The main harbour in Funchal has long been the leading Portuguese port in cruise ship dockings, an important stopover for Atlantic passenger cruises between Europe, the Caribbean and North Africa.[15] In addition, the International Business Centre of Madeira, also known as the Madeira Free Trade Zone, was established in the 1980s. It includes (mainly tax-related) incentives.[16]
Plutarch in his Parallel Lives (Sertorius, 75 AD) referring to the military commander Quintus Sertorius (d. 72 BC), relates that after his return to Cádiz, he met sailors who spoke of idyllic Atlantic islands: "The islands are said to be two in number separated by a very narrow strait and lie 10,000 furlongs [2,000 km] from Africa. They are called the Isles of the Blessed."[17]
Archaeological evidence suggests that the islands may have been visited by the Vikings sometime between 900 and 1030. [18][19]
Accounts by Muhammad al-Idrisi state that the Mugharrarin ("the adventurers" – seafarers from Lisbon) came across an island where they found "a huge quantity of sheep, the meat of which was bitter and inedible" before going to the more inhabited Canary Islands, in Spain. This island, possibly Madeira or Hierro, must have been inhabited or previously visited by people for livestock to be present.[20]
Legend
During the reign of King Edward III of England, lovers Robert Machim and Anna d'Arfet were said to have fled from England to France in 1346. Driven off course by a violent storm, their ship ran aground along the coast of an island that may have been Madeira. Later this legend was the basis of the naming of the city of Machico on the island, in memory of the young lovers.[21]
The fourth and final sheet of the four-sheet Corbitis Atlas (1384–1410)
European exploration
Madeira appears in several medieval manuscripts, including the Book of Knowledge of All Kingdoms from the early 14th century, the Medici-Laurentian Atlas from 1351, the Soleri Portolani from 1380 and 1385 and Corbitis Atlas from the late 14th century. These texts refer to Madeira as Lecmane, Lolegname,Legnami (the isle of wood), Puerto or Porto Santo, deserte or deserta, and desierta.[22] It is widely accepted that knowledge of these Atlantic islands existed before their better-documented discovery and successful settlement by the Kingdom of Portugal.[23]
In 1418, two captains, João Gonçalves Zarco and Tristão Vaz Teixeira, while exploring the African coast in the service of Prince Henry the Navigator, were driven off course by a storm to an island which they named Porto Santo (English: "holy harbour") in gratitude for divine deliverance from a shipwreck.
The following year, Zarco and Vaz organised an expedition with Bartolomeu Perestrello. The trio travelled to the island of Porto Santo, claimed it on behalf of the Portuguese Crown, and established a settlement. The new settlers observed "a heavy black cloud suspended to the southwest" and upon investigation discovered the larger island they called Madeira[24][25] (Portuguese: madeira, lit. 'wood').
Settlement
The first Portuguese settlers began colonizing the islands around 1420 or 1425.[26] The first settlers were the three captain-donees and their respective families, a small group of members of the gentry, people of modest conditions and some former inmates of the kingdom.[citation needed]
The majority of settlers were fishermen and peasant farmers who willingly left Portugal for a new life on the islands, a better one, they hoped, than was possible in a Portugal which had been ravaged by the Black Death, and where the best farmlands were strictly controlled by the nobility.
To have minimum conditions for the development of agriculture on the island, the settlers had to chop down part of the dense forest and build a large number of water channels, called “levadas”, to carry the abundant waters on the north coast to the south coast of the island. [citation needed]
Initially, the settlers produced wheat for their own sustenance but later began to export wheat to mainland Portugal.[citation needed] In earlier times, fish and vegetables were the settlers' main means of subsistence.[27]
Grain production began to fall and the ensuing crisis forced Henry the Navigator to order other commercial crops to be planted so that the islands could be profitable.[citation needed] These specialised plants, and their associated industrial technology, created one of the major revolutions on the islands and fuelled Portuguese industry. Following the introduction of the first water-driven sugar mill on Madeira, sugar production increased to over 6,000 arrobas (an arroba was equal to 11 to 12 kilograms or 24 to 26 pounds) by 1455,[28] using advisers from Sicily and financed by Genoese capital (Genoa acted as an integral part of the island economy until the 17th century). The accessibility of Madeira attracted Genoese and Flemish traders, who were keen to bypass Venetian monopolies.
"By 1480 Antwerp had some seventy ships engaged in the Madeira sugar trade, with the refining and distribution concentrated in Antwerp. By the 1490s Madeira had overtaken Cyprus as a producer of sugar."[29]
Sugarcane production was the primary engine of the island's economy, which quickly afforded the Funchal metropolis economic prosperity. The production of sugar cane attracted adventurers and merchants from all parts of Europe, especially Italians, Basques, Catalans, and Flemish. This meant that, in the second half of the fifteenth century, the city of Funchal became a mandatory port of call for European trade routes.[30][31]
Slaves were used during the island's period of sugar trade to cultivate sugar cane alongside paid workers, though slave owners were only a small minority of the Madeiran population, and those who did own slaves owned only a few. Slaves consisted of Guanches from the nearby Canary islands, captured Berbers from the conquest of Ceuta and West Africans after further exploration of the African coast.[32][33]Barbary corsairs from North Africa, who enslaved Europeans from ships and coastal communities throughout the Mediterranean region, captured 1,200 people in Porto Santo in 1617.[34][35]
Until the first half of the sixteenth century, Madeira was one of the major sugar markets of the Atlantic. Apparently, it is in Madeira that, in the context of sugar production, slave labour was applied for the first time. The colonial system of sugar production was put into practice on the island of Madeira, on a much smaller scale, and later transferred, on a large scale, to other overseas production areas.[36]
Later on, this small scale of production was outmatched by Brazilian and São Tomean plantations. Madeiran sugar production declined in such a way that it was not enough for domestic needs, so that sugar was imported to the island from other Portuguese colonies.[citation needed] Sugar mills were gradually abandoned, with few remaining, which gave way to other markets in Madeira.
In the 17th century, as Portuguese sugar production was shifted to Brazil, São Tomé and Príncipe and elsewhere, Madeira's most important commodity product became its wine.[37] Sugar plantations were replaced by vineyards, originating in the so-called ‘Wine Culture’, which acquired international fame and provided the rise of a new social class, the Bourgeoisie.
With the increase of commercial treaties with England, important English merchants settled on the Island and, ultimately, controlled the increasingly important island wine trade. The English traders settled in the Funchal as of the seventeenth century, consolidating the markets from North America, the West Indies and England itself. The Madeira wine became very popular in the markets and it is also said to have been used in a toast during the Declaration of Independence by the Founding Fathers of the United States.[38][39]
In the eighteenth and nineteenth centuries, Madeira stands out for its climate and therapeutic effects.[citation needed] In the nineteenth century, visitors to the island integrated four major groups: patients, travellers, tourists and scientists. Most visitors belonged to the moneyed aristocracy.[citation needed]
As a result of a high demand for the season, there was a need to prepare guides for visitors. The first tourist guide of Madeira appeared in 1850 and focused on elements of history, geology, flora, fauna and customs of the island.[40] Regarding hotel infrastructures, the British and the Germans were the first to launch the Madeiran hotel chain.[citation needed] The historic Belmond Reid's Palace opened in 1891 and is still open to this day.
During the Great War on 3 December 1916, a German U-boat, SM U-38, captained by Max Valentiner, entered Funchal harbour on Madeira. U-38 torpedoed and sank three ships, bringing the war to Portugal by extension. The ships sunk were:
CS Dacia (1,684 tonnes or 1,856 short tons), a British cable-laying vessel.[44]Dacia had previously undertaken war work off the coast of Casablanca and Dakar. It was in the process of diverting the German South American cable into Brest, France.[45]
SS Kanguroo (2,262 tonnes or 2,493 short tons), a French specialized "heavy-lift" transport.[46]
Surprise (620 tonnes or 680 short tons), a French gunboat. Her commander and 34 crewmen (including 7 Portuguese) were killed.[47]
After attacking the ships, U-38 bombarded Funchal for two hours from a range of about 3 kilometres (2 mi). Batteries on Madeira returned fire and eventually forced U-38 to withdraw.[48]
On 12 December 1917, two German U-boats, SM U-156 and SM U-157 (captained by Max Valentiner), again bombarded Funchal.[49] This time the attack lasted around 30 minutes. The U-boats fired 40 120 and 150 mm (4.7 and 5.9 in) shells. There were three fatalities and 17 wounded; a number of houses and Santa Clara church were hit.[50]
The last Austrian Emperor, Charles I, was exiled to Madeira after the war. Determined to prevent an attempt to restore Charles to the throne, the Council of Allied Powers agreed he could go into exile on Madeira because it was isolated in the Atlantic and easily guarded.[51] He died there on 1 April 1922 and his coffin lies in a chapel of the Church of Our Lady of Monte.
Geography
Distribution of the islands of the archipelago (not including the Savage Islands)Sights from Bica da Cana showing Madeira's high orography
The Madeira archipelago is located 520 km (280 nmi) from the African coast, 805 km (430 nmi) from the closest point in the European coast (the Portuguese town of Sagres, in Algarve) and 1,000 km (540 nmi) from the capital of Portugal, Lisbon (approximately a one-and-a-half-hour flight).[52] Madeira inhabits the extreme south of the Tore-Madeira Ridge, a bathymetric structure oriented along a north-northeast to south-southwest axis that extends for 1,000 kilometres (540 nmi). This structure consists of long geomorphological relief that extends from the abyssal plain to 3,500 m (11,500 ft); its highest submersed point reaches a depth of about 150 m (490 ft) (around latitude 36°N). The origins of the Tore-Madeira Ridge are not clearly established, but may have resulted from a buckling of the lithosphere.[53][54]
Islands and islets
Madeira (740.7 km2 or 286 sq mi), including Ilhéu de Agostinho, Ilhéu de São Lourenço, Ilhéu Mole (northwest); Total population: 262,456 (2011 Census).
Porto Santo (42.5 km2 or 16.4 sq mi), including Ilhéu de Baixo ou da Cal, Ilhéu de Ferro, Ilhéu das Cenouras, Ilhéu de Fora, Ilhéu de Cima; Total population: 5,483 (2011 Census).
Savage Islands (3.6 km2 or 1.4 sq mi), archipelago 280 km south-southeast of Madeira Island including three main uninhabited islands and 16 islets in two groups: the Northwest Group (Selvagem Grande Island, Ilhéu de Palheiro da Terra, Ilhéu de Palheiro do Mar) and the Southeast Group (Selvagem Pequena Island, Ilhéu Grande, Ilhéu Sul, Ilhéu Pequeno, Ilhéu Fora, Ilhéu Alto, Ilhéu Comprido, Ilhéu Redondo, Ilhéu Norte).
Peaks
The ten tallest peaks in Madeira exemplify the island's diverse topography. Pico Ruivo is the highest at 1,862 metres.[55][56] Madeira's mountaintops offer panoramic vistas of rugged terrain and the Atlantic Ocean, attracting hikers and nature enthusiasts seeking stunning views and challenging trails.[57]
Seamounts of Northeastern Atlantic between Madeira and continental Portugal with Madeira archipelago on the bottom left cornerDetailed, true-colour image of Madeira. The image shows that deep green laurel forest (laurissilva) survives intact on the steep northern slopes of the island, but in the south, where terrain is gentler, the terracotta colour of towns and the light green colour of agriculture are more dominant
Madeira island is at the top of a massive shield volcano that rises about 6 km (20,000 ft) from the floor of the Atlantic Ocean, on the Tore underwater mountain range.[58] The volcano formed atop an east–west rift[59][60] in the oceanic crust along the African Plate, beginning during the Miocene epoch (5 million years ago), continuing into the Pleistocene (700,000 years ago).[61] This was followed by extensive erosion, producing two large amphitheatres opening southward in the central part of the island. Volcanic activity later resumed, producing scoria cones and lava flows atop the eroded shield. The most recent volcanic eruptions were on the west-central part of the island 6,500 years ago, creating more cinder cones and lava flows.[61]
It is the largest island of the group with an area of 741 km2 (286 sq mi), a length of 57 km (35 mi) (from Ponte de São Lourenço to Ponta do Pargo). It is approximately 22 km (14 mi) at its widest point (from Ponta da Cruz to Ponta de São Jorge), with a coastline of 150 km (90 mi). It has a mountain ridge that extends along the centre of the island, reaching 1,862 metres (6,109 feet) at its highest point (Pico Ruivo), staying below 200 metres along its eastern extent. The primitive volcanic foci responsible for the central mountainous area, consisted of the peaks: Ruivo (1,862 m), Torres (1,851 m), Arieiro (1,818 m), Cidrão (1,802 m), Cedro (1,759 m), Casado (1,725 m), Grande (1,657 m), Ferreiro (1,582 m). At the end of this eruptive phase, reefs encircled the island, its marine vestiges evident in a calcareous layer in the area of Lameiros, in São Vicente. Sea cliffs, such as Cabo Girão, valleys and ravines extend from this central spine, leaving the interior generally inaccessible.[62] Daily life is concentrated in the many villages at the mouths of the ravines, through which the heavy autumn and winter rains travel to the sea.[63]
Climate
Madeira has many different bioclimates.[64] Based on differences in sun exposure, humidity, and annual mean temperature, clear variations distinguish north- and south-facing regions, as well as some islands. The islands are strongly influenced by the Gulf Stream and Canary Current, giving it mild to warm year-round temperatures. According to the Instituto de Meteorologia (IPMA), the average annual temperature at Funchal weather station is 19.6 °C (67.3 °F) for the 1981–2010 period. Relief is a determinant factor on precipitation levels; areas such as the Madeira Natural Park can get as much as 2,800 mm (110 in) of precipitation a year.[65] Madeira hosts lush laurel forests, while Porto Santo, a much flatter island, has a semiarid climate (BSh). In most winters snowfall occurs in the mountains.
In the south, little is left of the indigenous subtropical rainforest that once covered the island[citation needed] (the original settlers set fires to clear the land for farming) and named it (madeira means "wood" in Portuguese). However, in the north, the valleys harbor native trees. These laurissilvaforests, notably those on the northern slopes, are designated as a UNESCO World Heritage Site. Madeira's paleobotanical record reveals that laurissilva forest has existed for at least 1.8 million years.[70] Critically endangered species such as the vine Jasminum azoricum[71] and the rowan Sorbus maderensis are endemic. The Madeiran large whitebutterfly was an endemic subspecies of the large white that inhabited the laurissilva forests but has not been seen since 1977.
The Madeiran wall lizard (Teira dugesii) is a species of lizard in the familyLacertidae. It is the only species in the genusTeira. The species is endemic to the Madeira Archipelago, Portugal. In the Azores, this lizard has become naturalized after involuntary introduction by the shipping trade between the two archipelagos. There are four recognized subspecies. The species is both endemic and common, ranging from sea coasts to altitudes of 1,850 metres (6,070 ft). It is usually found in rocky places or among scrub and may climb into trees. It is also found in gardens and on walls. It feeds on vegetable matter and small invertebrates such as ants. The tail is easily shed and the stump regenerates slowly. The colouring is variable and tends to match the surroundings, typically a shade of brown or grey with occasionally a greenish tinge. Most animals are finely flecked with darker markings. The underparts are white or cream, sometimes with dark spots, with some males having orange or red underparts and blue throats, but these bright colours may fade if the animal is disturbed.[72] The Madeiran wall lizard grows to a snout-to-vent length of about 8 cm (3.1 in) with a tail about 1.7 times the length of its body. Females lay two to three clutches of eggs in a year with the juveniles being about 3 cm (1.2 in) when they hatch.[72]
Madeiran wolf spider
Hogna ingens, the Deserta Grande wolf spider, is endemic to the Madeira archipelago, specifically Deserta Grande Island. It is critically endangered. It is considered the largest member of its family. Restoration efforts are underway.[73]
A Great Auk bone is known from the Selvagens, suggesting this seabird visited at least sporadically.[76]
Mice
Madeira is home to six species of brown mice, believed to be descendants of common European brown mice brought to the island by Vikings in the 9th century (or conceivably by 15th century Portuguese settlers), but diversified to the point where they cannot interbreed with their ancestral species or with one another. They have essentially the same genes, but rearranged to give different chromosome numbers: the ancestral species has 40 chromosomes, whereas the Madeira species have from 22 to 30.[77] The deep valleys of Madeira are separated by high ground, and the different species of mice do not encounter each other.[78]
A levada is an irrigation channel or aqueduct specific to the Portuguese Atlantic region of Madeira. Madeira island is wet in the northwest, but dry in the southeast. In the 16th century the Portuguese started building levadas (aqueducts) to carry water to the agricultural regions in the south. Due to its mountainous landscape, building levadas promised to be a difficult venture, often tasked to criminals and convicts from continental Portugal to build these water canals.[79] Many are cut into the mountainsides, accompanied by 40 km (25 mi) of tunnels, some of which are still accessible.
Today levadas supply water and also provide hydro-electric power.[80] Over 2,170 km (1,350 mi) of levadas were built and later provided a network of walking paths. Paths can provide easy and relaxing walks through the countryside, while others are narrow, crumbling ledges where a slip could result in injury or death. Some improvements have been made to these pathways following the 2010 Madeira floods and mudslides.[81] Such improvements involved the continuous maintenance of streams, paving trails, and establishing safety fences on dangerous stretches.[82]
Two of the most popular (and demanding) hiking levadas are Levada do Caldeirão Verde and Levada do Caldeirão do Inferno. Levada do Caniçal is a much easier walk, running 11.4 km (7.1 mi) from Maroços to the Caniçal Tunnel. It is known as the mimosa levada, because "mimosa" trees (the colloquial name for invasive acacia) are found along the route.
Due to its distinct geography, economy, social and cultural situation, as well as the historical autonomic aspirations of the population, the Autonomous Regions of Madeira was established in 1976.[83] Although it is a politico-administrative autonomous region, the Portuguese constitution specifies both a regional and national connection, obliging their administrations to maintain democratic principles and promote regional interests, while reinforcing national unity.
The president of the Regional Government is appointed by the Representative of the Republic according to the results of the election to the legislative assemblies.
The sovereignty of the Portuguese Republic is represented in Madeira by the Representative of the Republic, appointed by the President of the Republic on the advice of the Government of the Republic. The tasks of the Representative of the Republic are to sign and order the publication of regional legislative decrees and regional regulatory decrees or to exercise the right of veto over regional laws, should these laws be unconstitutional. Before the sixth amendment to the Portuguese Constitution passed in 2006, this responsibility was held by a more-powerful Minister of the Republic, who was proposed by the Government and appointed by the President.[citation needed]
According to the Treaty on the Functioning of the European Union, both primary and secondary European Union law applies to Madeira, with possible derogations to take account of its "structural social and economic situation (...) which is compounded by their remoteness, insularity, small size, difficult topography and climate, economic dependence on a few products, the permanence and combination of which severely restrain their development".[84] An example of such derogation is seen in the approval of the International Business Centre of Madeira and other state aid policies to help the rum industry.
Funchal (Portuguese pronunciation:[fũˈʃal]ⓘ) is the capital, largest city and the municipal seat of Portugal's Autonomous Region of Madeira, bordered by the Atlantic Ocean. The city has a population of 105,795,[97] making it the sixth largest city in Portugal. Because of its high cultural and historical value, Funchal is one of Portugal's main tourist attractions; it is also popular as a destination for New Year's Eve, and it is the leading Portuguese port on cruise liner dockings.[97]
The island was settled by Portuguese people, especially farmers from the Minho region,[98] meaning that Madeirans (Portuguese: Madeirenses), as they are called, are ethnically Portuguese, though they have developed a distinct regional identity and cultural traits.
In the 1846 famine, over 6,000 inhabitants migrated to British Guiana. In 1891 they numbered 4.3% of the population.[101] In 1902 5,000 Portuguese people, mostly Madeirans, lived in Honolulu, Hawaii. By 1910 this grew to 21,000.[102]
1849 saw an emigration of Protestant religious exiles from Madeira to the United States, by way of Trinidad and elsewhere in the West Indies. Most of them settled in Illinois[103] with financial and physical aid of the American Protestant Society, headquartered in New York City. In the late 1830s physician and Presbyterian minister Reverend Robert Reid Kalley, from Scotland made a stop at Funchal, Madeira on his way to a mission in China, with his wife, so that she could recover from an illness. Kalley and his wife stayed on Madeira where he began preaching the Protestant gospel and converting islanders from Catholicism.[104] Eventually, he was arrested and imprisoned for his religious conversion activities. Another Scottish missionary, William Hepburn Hewitson, took on Protestant ministerial activities in Madeira. By 1846, about 1,000 Protestant Madeirenses, who were discriminated against and the subjects of mob violence because of their religious conversions, chose to immigrate to Trinidad and elsewhere in the West Indies in answer a call for sugar plantation workers.[105] The exiles did not fare well there. The tropical climate was unfamiliar and they found themselves in serious economic difficulties. By 1848, the American Protestant Society raised money and sent Rev. Manuel J. Gonsalves, a Baptist minister and a naturalized U.S. citizen from Madeira, to work with Rev. Arsénio da Silva, who had emigrated with the exiles from Madeira, to arrange to resettle those who wanted to come to the United States. Rev. da Silva died in early 1849. Later in 1849, Rev. Gonsalves was then charged with escorting the exiles from Trinidad to settle in Sangamon and Morgan counties in Illinois on land purchased with funds raised by the American Protestant Society. Accounts state that anywhere from 700 to 1,000 exiles came to the United States at this time.[106][107]
Several large Madeiran communities continue around the world, including in the UK and Jersey.[108] The Portuguese British community, made up mostly of Madeirans, celebrate Madeira Day.
In Venezuela the Madeiran Portuguese settled in cities such as Caracas[109] and rural areas of the interior. According to figures from the 1990s, around 70% of the Portuguese diaspora in that country was made up of Madeirans and their descendants, initially dedicated to activities such as agriculture, but later, due to the lack of government support, the emigrants concentrated on commerce[109] in the large Venezuelan cities. Among the companies founded by Madeirans are the supermarkets Central Madeirense, Excelsior Gama, Supermercados Unicasa and Automercados Plaza, and many renowned bakeries.[109] A state in Venezuela called Portuguesa was named after its large Portuguese population.
Due to its growing popularity, Madeira’s population has grown, reaching 253,259 in 2022, of whom the majority are locals. But Madeira has, for many years, witnessed a rising foreign population. As of 31 December 2022, immigrants in the region totaled 11,793 people, representing an increase of 13.3% compared to 2021. “Nationals from Venezuela (19.7%), the United Kingdom (11.8%), Germany (9.4%) and Brazil (9.2%) continue to represent the main foreign communities in the region[110]”, according to the DREM (Madeira Statistics Department). [111]
Economy
The gross domestic product (GDP) reached 4.9 billion euros in 2018, accounting for 2.4% of Portugal's economic output. GDP per capita adjusted for purchasing power then was 22,500 euros or 75% of the EU27 average. The GDP per employee was 71% of the EU average.[112]
Madeira embraced Bitcoin by implementing policies that exempt Bitcoin investors from paying personal income taxes in the region. Madeira Regional Government President Miguel Albuquerque confirmed the inauguration of a business hub focused solely on Bitcoin and related innovations. Speaking in a dialogue with Prince Filip Karađorđević of Serbia at Bitcoin Amsterdam 2023, he framed the move as a significant step toward technological advancements and international partnerships.[113]
Madeira International Business Center
View of Madeiran mountains from FunchalCaniçal on the left and Madeira Free Trade (Industrial) Zone on the right
The Madeira International Business Center (MIBC) free trade zone has led to additional infrastructure, production shops and essential services for small and medium-sized industrial enterprises. MIBC comprises three sectors of investment: the Industrial Free Trade Zone, the International Shipping Register – MAR and International Services. Madeira's tax regime has been approved by the European Commission as legal State Aid and its deadline was extended through 2027. MIBC was created formally in the 1980s as a tool of regional economic policy.[citation needed] It consists of (mainly tax) incentives, granted with the objective of attracting investment into Madeira.
Favorable operational and fiscal conditions were approved by the European Commission under Article 299 of the Treaty on European Union. The MIBC is integrated in the Portuguese and EU legal systems and is regulated and supervised by Portuguese and EU authorities in a transparent and stable business environment, clearly distinguished from so-called "tax havens" and "offshore jurisdictions". In 2015, the EC authorized a state aid regime for companies incorporated between 2015 and 2020 and extended the regime of tax reductions through 2027. The tax regime is outlined in Article 36°-A of the Portuguese Tax Incentives Statute. Available data demonstrates that this programme aided the local labor market, through the creation of qualified jobs and for professionals who have returned to Madeira; increased productivity; expanded business tourism from the visits of investors and their clients and suppliers, and other sectors such as real estate. Telecommunications and other services benefit from a larger client base. Companies attracted by MIBC represent over 40% of revenue in terms of corporate income tax for the Government of Madeira and nearly 3.000 jobs. Salaries there are above average in comparison with the wages paid in other sectors.[114]
Regional government
Madeira has been a significant recipient of European Union funding, totaling €2 billion. In 2012, it was reported that despite a population of just 250,000, the local administration owed some €6 billion.[115] The Portuguese treasury (IGCP) assumed Madeira's debt management between 2012 and 2015. The region works with the central government on a long-term plan to reduce debt levels and commercial debt stock. Moody's noted that the region made significant fiscal consolidation efforts and that its tax revenue collection has improved. Tax revenues increased by 41% between 2012 and 2016, helping the region to reduce its deficit to operating revenue ratio to 10% in 2016 from 77% in 2013.[116]
Tourism
Pearl of the Atlantic, island of eternal spring... Madeira well deserves its fanciful nicknames and the affection visitors and locals alike feel for this tiny volcanic island that offers so much.
Tourism is an important sector in the region's economy, contributing 20%[118] to the region's GDP, providing support throughout the year for commercial, transport and other activities and constituting a significant market for local products. The share in Gross Value Added of hotels and restaurants (9%) also highlights this phenomenon. The island of Porto Santo, with its 9-kilometre-long (5.6 mi) beach and its climate, is entirely devoted to tourism.
Visitors are mainly from Europe, with Portuguese, British, German and French tourists providing the main contingents (2021).[13] The average annual occupancy rate was 60.3% in 2008,[119] reaching its maximum in March and April, when it exceeds 70%.[citation needed]
Electricity on Madeira is provided solely through EEM (Empresa de Electricidade da Madeira, SA, which holds a monopoly for the provision of electrical supply on the autonomous region) and consists largely of fossil fuels, but with a significant supply of seasonal hydroelectricity from the levada system, wind power and a small amount of solar. Energy production comes from conventional thermal and hydropower, as well as wind and solar energy.[122] The Ribeira dos Soccoridos hydropower plant, rated at 15MW, utilises a pumped hydropower reservoir to recycle mountain water during the dry summer.[123]
Battery technologies are being tested to minimise Madeira's reliance on fossil fuel imports.[124] Renault SA and EEM piloted the Sustainable Porto Santo—Smart Fossil Free Island project on Porto Santo to demonstrate how fossil fuels can be entirely replaced with renewable energy,[125] using a 3.3 MWh battery. Madeira operates a 15 MW 1-hour lithium iron phosphate battery with black start capability.[126]
In the first half of 2022, 33% of the electricity consumed on the Portuguese archipelago of Madeira was sourced from renewable energy, a milestone achieved through a collaborative initiative co-funded by the European Union (EU).[127]
Central to this accomplishment are the centuries-old stone pipes known as levadas, spanning thousands of kilometers and dating back to the fifteenth century. These levadas efficiently transport rainwater from northern regions to the south, serving various purposes such as human consumption, agriculture, and electricity production.[127]
The Socorridos hydroelectric power station, fueled by water conveyed through the levadas, stands as the island's principal hydraulic system, providing power consistently throughout the year. A significant aspect of the EU-funded multi-million euro project involved enhancing water storage capacity, including the construction of a 5.4-kilometer tunnel and additional mountain tunnels, presenting formidable engineering challenges.[127]
Wind power complements the system, facilitating the movement of stored water uphill during peak demand periods. The treated water serves dual purposes—human consumption and agriculture—while also functioning as a renewable energy source. Nuno Jorge Pereira, Water Production Director for Wood, Water, and Waste (ARM), elucidates the strategic use of water volumes to adapt to energy production levels.[127]
This €34.7 million project, with €17.3 million co-financed by the European Cohesion Policy, not only mitigates concerns about drought but also earned acclaim as one of the best EU co-funded projects in the EGIOSTAR Awards.[127]
The optimized Socorridos plant has notably alleviated water-related challenges for local farmers.[127]
A ferry makes daily trips between Madeira and Porto Santo.
The islands have two airports, Cristiano Ronaldo International Airport and Porto Santo Airport, on the islands of Madeira and Porto Santo respectively. From Cristiano Ronaldo International Airport the most frequent flights are to Lisbon. There are also direct flights to over 30 other airports in Europe and nearby islands.[128]
Transport between the two main islands is by plane, or ferries from the Porto Santo Line,[129] the latter also carrying vehicles. Visiting the interior of the islands is now easy thanks to construction of the Vias Rápidas, major roads that cross the island. Modern roads reach all points of interest on the islands.
Funchal has an extensive public transportation system. Bus companies, including Horários do Funchal, which has been operating for over a hundred years, have regularly scheduled routes to all points of interest on the island.
Folklore music in Madeira is widespread and mainly uses local musical instruments such as the machete, rajão, brinquinho and cavaquinho, which are used in traditional folkloric dances like the bailinho da Madeira.
Emigrants from Madeira also influenced the creation of new musical instruments. In the 1880s, the ukulele was created, based on two small guitar-like instruments of Madeiran origin, the cavaquinho and the rajão. The ukulele was introduced to the Hawaiian Islands by Portuguese immigrants from Madeira and Cape Verde.[130] Three immigrants in particular, Madeiran cabinet makers Manuel Nunes, José do Espírito Santo, and Augusto Dias, are generally credited as the first ukulele makers.[131] Two weeks after they disembarked from the SS Ravenscrag in late August 1879, the Hawaiian Gazette reported that "Madeira Islanders recently arrived here, have been delighting the people with nightly street concerts."[132]
There are many different meat dishes on Madeira, one of the most popular being espetada.[135] Espetada is traditionally made of large chunks of beef rubbed in garlic, salt and bay leaf and marinated for 4 to 6 hours in Madeira wine, red wine vinegar and olive oil then skewered onto a bay laurel stick and left to grill over smouldering wood chips. These are so integral a part of traditional eating habits that a special iron stand is available with a T-shaped end, each branch of the "T" having a slot in the middle to hold a brochette (espeto in Portuguese); a small plate is then placed underneath to collect the juices. The brochettes are very long and have a V-shaped blade in order to pierce the meat more easily. It is usually accompanied with the local bread called bolo do caco. A traditional holiday dish is "Carne de Vinho e Alhos", which is most closely associated with the pig slaughter that was held a few weeks before Christmas. A big event, traditionally it was attended by everyone in the village. The dish is made of pork which marinates for three days in white wine, vinegar, salt, and pepper and is then cooked with small potatoes, sliced carrots, and turnip. Another common meat dish is “Picado" - cubed beef cooked in a mushroom sauce and accompanied by fries.[134]
Traditional pastries in Madeira usually contain local ingredients, one of the most common being mel de cana, literally "sugarcane honey" (molasses). The traditional cake of Madeira is called Bolo de Mel, which translates as (Sugarcane) "Honey Cake" and according to custom, is never cut with a knife, but broken into pieces by hand. It is a rich and heavy cake. The cake commonly known as "Madeira cake" in England is named after Madeira wine.
Milho frito is a popular dish in Madeira that is similar to the Italian dish polenta fritta. Açorda Madeirense is another popular local dish.
Madeira is known for the high quality of its cherimoya fruits.[136][137] The Annona Festival is traditional and held annually in the parish of Faial. This event encourages the consumption of this fruit and its derivatives, such as liqueurs, puddings, ice cream and smoothies.[138]
Beverages
Bottles of Madeira labelled by the different grape varieties used to produce the many styles of wineCoral Beer, produced since 1872[139] in the Island's main brewery, has achieved several Monde Selection medals
Madeira wine is a fortified wine produced in the Madeira Islands; varieties may be sweet or dry. It has a history dating back to the Age of Exploration when Madeira was a standard port of call for ships heading to the New World or East Indies. To prevent the wine from spoiling, neutral grape spirits were added. However, wine producers of Madeira discovered, when an unsold shipment of wine returned to the islands after a round trip, that the flavour of the wine had been transformed by exposure to heat and movement. Today, Madeira is noted for its unique winemaking process that involves heating the wine and deliberately exposing the wine to some levels of oxidation.[140] Most countries limit the use of the term Madeira to those wines that come from the Madeira Islands, to which the European Union grants Protected designation of origin (PDO) status.[141]
A local beer called Coral is produced by the Madeira Brewery, which dates from 1872. It has achieved 2 Monde Selection Grand Gold Medals, 24 Monde Selection Gold Medals and 2 Monde Selection Silver Medals.[139] Other alcoholic drinks are also popular in Madeira, such as the locally created Poncha, Niquita, Pé de Cabra, Aniz, as well as Portuguese drinks such as Macieira Brandy, Licor Beirão.
Laranjada is a type of carbonated soft drink with an orange flavour, its name being derived from the Portuguese word laranja ("orange"). Launched in 1872 it was the first soft drink to be produced in Portugal, and remains very popular to the present day.[citation needed]Brisa drinks, a brand name, are also very popular and come in a range of flavours.
Monument in Camacha, celebrating the first ever organised football game in Portugal
Football is the most popular sport in Madeira and the island was indeed the first place in Portugal to host a match, organised by British residents in 1875.[142][143] The island is the birthplace of international star Cristiano Ronaldo and is home to two prominent teams, C.S. Marítimo and C.D. Nacional.
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^Bowler, John (2018). Wildlife of Madeira and the Canary Islands. Princeton University Press. p. 5. The Madeira archipelago belongs to Portugal and lies just under 400 km to the north of the Canary Island of Tenerife and 520 km west of Morocco.
^Beron, Petar (2018). Zoogeography of Arachnida. Springer. p. 363. Another archipelago, a Portugal territory, is Madeira, comprising the islands of Madeira, Porto Santo, Degeltas, and Selvagens, 520 km from the African coast.
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^Rando, Juan Carlos; Pieper, Harald; Alcover, Josep Antoni (7 April 2014). "Radiocarbon evidence for the presence of mice on Madeira Island (North Atlantic) one millennium ago". Proceedings of the Royal Society B: Biological Sciences. 281 (1780): 3. doi:10.1098/rspb.2013.3126. ISSN0962-8452. PMC4027395. PMID24523273. The mtDNA haplotypes from current populations of house mouse M. m. domesticus of Madeira, [...] show similarities with those of Scandinavia and northern Germany (but not with the Portuguese mainland). This [...] suggests that northern Europe was the source area, and raises the intriguing possibility that the Vikings could have brought the house mouse to the island, although it should be noted that to date there are no historical references of Viking voyages to Macaronesia.
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^Nicholas Cayetano de Bettencourt Pitta, 1812, p.20
^Dervenn, Claude (1957). Madeira. Translated by Hogarth-Gaute, Frances. London, UK: George G. Harrap and Co. p. 20. OCLC645870163. Archived from the original on 8 December 2020. Retrieved 7 June 2016. And when he returned in May 1420 to take possession of "his" island, it was with his wife and the sons and daughters that the virtuous Constanga had given him.
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^Madeira: The islands and their Wines - Page 17 "The son of William Hinton, Harry Hinton was educated in England and as an 18-year-old student, brought the first football to Madeira in 1875. The first game of football in Portugal was played near the Hinton family quinta in Camacha."
1Entirely claimed by both Morocco and the SADR.2Spanish exclaves claimed by Morocco.3Portuguese archipelago claimed by Spain.4Disputed between Egypt and the Sudan.5Unclaimed territory located between Egypt and the Sudan.6Disputed between South Sudan and the Sudan.7Part of Chad, formerly claimed by Libya.8Disputed between Morocco and Spain
1 1975 is the year of East Timor's Declaration of Independence and subsequent invasion by Indonesia. In 2002, East Timor's independence was fully recognized.
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