Eating out
Portuguese cuisine is not as striking as that of Spain or France, but almost always cheaper. Typical meals are of a steak, fish or seafood, with salad, french fries and rice. Seafood is excellent in Portugal, and available everywhere. You will find the odd Tapas bar in more populated areas. In Lisbon try the Brazilian food.
Drinks
Portuguese wine is extremely cheap, and of excellent quality. Beer is also good, although the cheapest variety is often as good as the most expensive. Coffee is just as popular as in Italy, France or Spain, although cheaper. Often just €0.40 for a ‘cafe’ (espresso).
Groceries
Fruit and vegetables are cheap and of a good quality at the bigger supermarkets. At the smaller supermarkets the quality is normally rather less. Meat is of good quality and value, often imported from South America. Portuguese chocolate is good, and a lot cheaper than the international brands you will know.
Supermarkets
Intermarche the probably the most common supermarket, but are also the most expensive. Pingo Doce is widespread, and cheaper than Intermarche. Mini-Preco is generally the cheapest, but not very widespread. A lot of bigger towns have a Lidl, which is a great place to stock up.
It often pays to stock up well when passing a big supermarket, as some areas, including The Algarve, have few big supermarkets outside of the major towns.