(Last updated: 13 Apr 2012)

Current business situation

The Department of Foreign Affairs and Trade (DFAT) provides advice for business travellers and tourists going to Spain. This is regularly updated, and should be checked before planning travel.

Country facts

(Source: Department of Foreign Affairs and Trade - Country economic fact sheet)

Economic climate

In recent years the Spanish economy has experienced good economic growth and has shown to be one of the best performing economies in the European Union (EU). Growth has occurred as the result of good economic management, lower taxes, employment growth and low interest rates, which have facilitated consumer and business spending.

Spain’s key sectors are:

• services (tourism)
• agriculture/fishing
• industrial (textiles and apparel production, including footwear, automotive, shipbuilding and chemicals)
• food and beverage sectors

However, potential demand for Australian goods and services exists in almost all sectors. Recent export successes have included items as diverse as children’s clothing, green building solutions and franchises. In addition, Spanish companies are among the largest investors in South America.

Alliances with such companies might provide returns not only in accessing Spain and the EU but South American countries as well. Conversely, Spanish companies are showing a growing interest in using Australia as a springboard into the Asia-Pacific region.

For the latest key economic indicators and statistics, please see the Department of Foreign Affairs and Trade country economic fact sheet.

Political climate

Spain is a member of the European Union (EU) and the European Monetary Union (EMU) and has played a prominent role in many EU debates. It is a parliamentary monarchy, with King Juan Carlos playing a strictly non-partisan role above party politics.

The Spanish national parliament (the Cortes) is made up of two houses and national elections are held every four years.

Trade relations and statistics

Spain is keen to become a global player and has implemented a strategic plan aimed at encouraging Spanish businesses to focus on the Asian region. It is hoped that this plan will help Spain develop new markets away from Spain’s traditional markets of the European Union, USA and South America.

A growing number of Australian companies are conducting business in Spain across a wide range of sectors including; food and beverage; fashion and accessories; construction; logistics and technology. There has also been Spanish direct investment in Australian agribusiness, hospitality and real estate sectors, with sustainable energy a promising area for the future.

Please see the Department of Foreign Affairs and Trade country economic fact sheet for key trade statistics.