Portugal coach Carlos Queiroz says Spain deserved their victory

Portugal coach Carlos Queiroz has admitted that arch-rivals Spain were the better team and deserved to stay in the World Cup, after his side were knocked out of the tournament following a 1-0 defeat in Cape Town.

Good neighbours: Portuguese players cannot hide their dismay after being knocked out of the World Cup by Spain

The European champions won a tight round of 16 contest 1-0, leaving Portugal facing another four years before getting another crack at winning the World Cup for the first time in their history.

"Spain won with merit," said Queiroz. "But I would also like to underscore the fact that Portugal played with a great degree of dignity and ambition and I believe the fans have justifiable reason to be proud of the way the team has played."

Portugal indeed played a clever game, defending well before launching counter-attacks. But ultimately the statistics speak for themselves, with Spain plundering 19 shots to Portugal's nine.

Spain also had far more possession, something Queiroz admitted was the difference between the two sides.

"It was an extremely difficult game but Spain moved the ball very well and had more possession and any team that does that can control the game better," he said.

"We did have opportunities to score but unfortuantely we were not able to do so, hence allowing Spain to win 1-0. We could have scored at certain critical moments, but Spain's victory is justified."

Portugal leave the tournament having conceeded just one goal, but it was costly one with David Villa doing the damage.

Queiroz said they would learn from the experience.

"We wanted to do well and when we compete at this level, if we manage to obtain second or third, it is not satisfactory," he said.

"We always have as our main goal to win. We also want to have an honourable performance to dignify Portuguese football.

"I wanted us to be able to leave the field with our heads held high, and I think we accomplished this."

Cristiano Ronaldo, who had another quiet game, refused to speak to the media as he left the stadium.

Spanish coach Vicente Del Bosque insisted that Torres - currently in Villa's shadow and who was replaced by Joseba Llorente in the second half - had done his bit as Spain seek to land the trophy for the first time.

"We marked Ronaldo well and neutralised his threat," said Spain coach Vicente Del Bosque, although the former Real Madrid manager has his own problems with a superstar, after another tepid performance from Fernando Torres, who was substituted in the second half.

"Fernando worked hard as we all have over the past month. The substitution was made because Torres had done a lot of running and we needed fresh legs," added Del Bosque.