According to Portuguese newspaper O Jogo, Chelsea are looking at Garay as a long-term replacement for the ageing John Terry, while the West London club are also worried over Barcelona's interest in David Luiz.
Garay has already been scouted by Sir Alex Ferguson's brother Martin, with the Red Devils close to securing the player in the January transfer window.
Garay has already been scouted by Sir Alex Ferguson's brother Martin, who were close to securing the player in the January transfer window
Any potential transfer could cost upwards of £15m, likely to be higher if a bidding war breaks out over the former Real Madrid defender.
Negotiations are set to be complicated by Madrid's entitlement to 50 per cent of any fee Benfica receives for the player, while there is also third-party ownership issues to be settled.
Garay has made 27 appearances for the Portuguese side this season, scoring once in the Champions League against Celtic.
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