Business associations from Terceira, São Jorge, Pico, Faial, and Graciosa warn that inadequate air and maritime connections are undermining economic development and call for a coordinated regional market.
Inadequate air and maritime transportation is restricting economic growth across the five islands of the Azores’ Central Group, prompting business associations to demand improved connections and a coordinated development strategy that would allow the islands to function as a more integrated economic market. Representatives from Terceira, São Jorge, Pico, Faial, and Graciosa, meeting on São Jorge on October 30, agreed on a memorandum calling for changes to inter-island transportation, stronger commercial cooperation, and joint investment initiatives. Their proposals will be submitted to the Azorean Regional Government and parliamentary groups.
“The Central Group cannot continue to be merely a geographical designation,” the associations declared in a statement released by the São Jorge Business Association. Instead, they argue, the five islands should function as a coordinated economic territory, capable of combining their resources, strengthening their competitiveness, and developing common responses to shared challenges.
Transportation emerged as the most urgent priority. Business representatives warned that limitations in air and maritime services continue to affect residents’ mobility, the movement of goods, commercial operations, and tourism. Particular concern was expressed about insufficient flight frequencies, inconvenient schedules, and the difficulties faced by smaller islands, especially Graciosa. The associations called for a reassessment of inter-island air services that takes into account the operational characteristics of each airport and the needs of local populations and businesses.
Maritime passenger transportation was also identified as requiring substantial improvement, particularly during the summer tourism season. The associations proposed examining a model organized around two principal routes: São Jorge–Terceira–Graciosa and São Jorge–Pico–Faial. They believe these connections could improve mobility within the Central Group while supporting tourism and commercial activity. For maritime freight transportation, the business organizations emphasized the need for greater regularity, capacity, and predictability to ensure reliable supplies and reduce logistical difficulties for local enterprises.
Beyond transportation, the associations advocated the development of a more cohesive internal market across the five islands. They argued that the Central Group’s combined population, economic activities, and natural resources should be viewed as strategic assets rather than as separate island economies operating with limited coordination. Greater circulation of people, products, services, investment, and knowledge, they suggested, could create opportunities that individual islands might struggle to develop independently.
Tourism was identified as one area where cooperation could deliver practical benefits. The business organizations called for a more integrated tourism offering that connects the five islands while preserving their individual characteristics and attractions. However, they emphasized that economic development must extend beyond tourism, encouraging diversified production, higher-value activities, and stronger export capacity. Reducing dependence on subsidies and public transfers was presented as an important long-term objective.
The memorandum also highlights the need to attract investment, encourage new business initiatives, make better use of local resources, and accelerate digital transformation. According to the associations, these priorities should form part of a shared development strategy capable of strengthening the economic resilience of the Central Group while creating opportunities for businesses and residents.
Institutional cooperation constitutes another central element of the initiative. The participating organizations agreed that the five islands would benefit from presenting coordinated proposals to regional decision-makers rather than addressing common problems through separate initiatives. A stronger collective position, they argued, could help translate longstanding concerns into practical policies and investments.
The business associations will hold a second meeting in January on Graciosa to continue developing their proposals and reinforce cooperation among the five islands.
The initiative reflects a broader discussion about territorial cohesion in the Azores, where geographical fragmentation and transportation costs remain significant challenges to economic activity. For the Central Group’s business representatives, the objective is to transform geographical proximity into functional economic integration, allowing the five islands to operate not simply as neighboring territories, but as partners in a shared regional development strategy.
Based on a story in Diário Insular. The picture is also from DI.