The Montado in Portugal and Dehesa in Spain is a unique agro-silvo-pastoral system designed to overcome food needs in a scarce resource’s environment. The system competitiveness is not clear and it is now under severe threats, caused by extensification or abandonment of less fertile areas and by intensification in more fertile ones. The aim of the undertaken research is to compare the cow-calf production within these systems in Portugal and Spain, identifying their strengths and weaknesses and the main drivers of their evolution, and to compare these systems with other European countries’ systems, ranking their competitiveness and efficiency among other systems in the EU. The research indicates that Montado/Dehesa farms systems are dependent on the type of farming system, its context and management, i.e., on the decision and its context; so, in a context of Mediterranean land system changes, the future of the Montado/Dehesa ecosystem depends on the ability of the cow-calf production systems to face the future and to perceive the modifications needed to overcome new challenges and take advantage of new opportunities.

The number of ewes in Portugal registers a decrease since 1998. This decrease is felt particularly in the south of the country, which concentrates almost half of the existing ewes, mainly for meat production. One of the most important ewe production systems is the Montado, a High Nature Value ecosystem, occupying ca. 1.2 million ha in Portugal. The competitiveness of this system among the European ewe production systems is an important issue for the future of the Montado ecosystem. So, the objective of this paper is to analyze the ewe production systems in the Montado, using the agri benchmark database, and compare these systems with other European countries’ systems, ranking their competitiveness and efficiency among other systems in the European Union. We concluded that this methodology facilitated an in-depth understanding not only of the competitiveness and efficiency of ewe production systems in Portugal but also of their positioning regarding other systems in the European Union. The pattern of returns assures that these farms are competitive in the sense that they depend on the market on their decisions, and thus it is important that market values sheep products. Nevertheless, the diversification to other income sources would be a good option for the future sustainability of these farms and the opportunities and risks that these systems will deal with in a new green economy, with probable new functions and new opportunities for land, will be a challenge for the future.