Historic merger creates Algarve’s largest tourism association

The Algarve’s two largest tourism business associations are joining forces in a historic merger that will create a single organisation representing around 1,300 companies across the region’s tourism sector.

AHETA and AIHSA formally launched the process on Monday (July 6) by signing a Memorandum of Understanding in Albufeira, unveiling the name of the new organisation: AETA – Associação das Empresas Turísticas do Algarve (Association of Tourism Businesses of the Algarve).

The agreement marks the beginning of a 90-day transition period during which the merger will be legally completed and the first governing bodies of the new association elected.

More than 250 business leaders, association representatives, mayors and public officials attended the ceremony at Quinta do Canhoto, which was presided over by Secretary of State for Tourism, Commerce and Services, Pedro Machado.

In a recorded message, Algarve Tourism Board (RTA) president André Gomes described the agreement as “a historic moment for our region”, adding that “when the Algarve speaks with one voice, it becomes stronger.”

António Pina, president of AMAL (the association bringing together the Algarve’s 16 municipalities) also welcomed the merger, saying it gives the tourism sector “the representation it deserves.”

Albufeira mayor Rui Cristina praised what he called the strategic vision shown by the two organisations, saying the merger demonstrates the Algarve tourism industry’s maturity in responding to future challenges.

AIHSA president Daniel do Adro said the new association would provide the scale needed to meet those challenges while continuing to protect and represent its members.

“This merger gives us the scale and representation the sector needs to face the challenges ahead and guarantees that our associates continue strongly protected and represented,” he said.

AHETA president Hélder Martins said the new organisation was designed to build on the strengths of both associations rather than replace them.

“AETA is not being created to erase the history of AHETA or AIHSA,” he said. “It is about combining their strengths to create a modern organisation capable of leading the future of tourism in the Algarve.”

Francisco Calheiros, president of the Portuguese Tourism Confederation (CTP), described the merger as an example for business associations across the country.

“The Algarve gains an invaluable new strength and the Confederation gains an even stronger partner,” he said.

Closing the event, Secretary of State Pedro Machado said the government welcomed the initiative, arguing that “a strong and united tourism sector in the Algarve means a more competitive and resilient Portugal.”

Founded in 1995, AHETA represents hotels, tourist resorts, local accommodation providers, tourism businesses and holiday property operators. AIHSA, established in 1971, has traditionally represented the region’s hotel, restaurant and beverage sectors.

Together, the two organisations account for around 1,300 members, making AETA the largest representative body for Algarve tourism businesses.

According to the associations, bringing together their technical teams and resources will strengthen services ranging from legal advice and staff training to labour relations and business support, while giving the tourism industry a stronger, more unified voice when dealing with government and public authorities.