In a closely-fought match, the Indian colts matched their opponents, but the chances created were seldom converted into goals.
Though the Indian team dominated possession in the opening minutes of the match, Setubal U-17 created the first goal scoring chance of the match in the 16th minute when they rattled the Indian crossbar.
However, they could take the lead only in the 38th minute after Bruno Ventura scored from a penalty kick that was awarded for a reckless Indian tackle inside the box.
After the break, the Indian colts upped the ante and pressed for the equaliser.
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But Aniket Jadhav's shot in the 47th minute went inches over the bar and a minute later his shot again flew whiskers wide of the goal.
The Indians finally managed to equalise in the 67th minute with Aniket successfully scoring from the penalty spot this time around.
India tried to take the lead but could not find the net, even as Setubal U-17 struck in the 85th minute to seal off the match in their favour.