Higher defence spending will weaken public finances, but economic freedom is substantial and the political environment is stable. Supported by state spending, the economy is set to exit recession in 2025, but inflation remains elevated. Inequality and the gender gap is less pronounced than peers, but minority rights are being eroded and the populace is shrinking. Solid internet use is driving e-commerce and Estonia has good innovation credentials, but technology specialists are in short supply.

RTD tea in Estonia faces pressure from other RTD categories, especially carbonates, energy drinks and sports drinks, exacerbated by a lack of innovation. Reduced-sugar options show the strongest resilience, as health-oriented attributes gain importance amongst consumers. Coca-Cola HBC maintains category leadership through the strong visibility and recognition of its Nestea brand. Private label is expanding from a small base, supported by discounters’ wider assortments. The forthcoming sugary-dri

Concentrates in Estonia continues to face pressure from RTD beverages, which are more aligned with consumer preferences. Liquid formats remain dominant due to their perceived higher quality, while powder formats remain niche. Okla Eesti AS, with its Kannujook brand, remains the dominant player, although the category is characterised by a lack of significant investment. l. Looking ahead, the planned 2026 sugary-drinks tax is expected to influence pricing and reformulation, reinforcing interest in

Demand for carbonates in Estonia has been impacted affected by rising VAT, elevated retail prices, and a cold summer. In addition, health and wellness trends are shifting consumers towards water and low-sugar alternatives. Coca-Cola HBC Eesti AS remains the category leader, supported by strong brand recognition, popular core variants, and an expanding range of sugar-free options. The upcoming sugary-drinks tax in 2026 is expected to increase prices for both sugar-sweetened and artificially sweet

Demand for bottled water in Estonia is being shaped by rising prices linked to the recent increase in the VAT rate, prompting many households to switch to tap water. Weather conditions also play a role, with cooler summers limiting demand. Functional and value-added waters remain more resilient as consumers seek products with vitamins or electrolytes. Värska Vesi retains strong influence through its mineral water heritage and sustainability focus, while private-label large-format options appeal

Demand for soft drinks in Estonia has been affected by a cold summer and cautious consumer spending, amid continuing economic uncertainty. Shifts towards low-sugar and added-value beverages, including energy and functional drinks, are reshaping consumption preferences. Private label offerings remain limited in carbonates and energy drinks but have a stronger presence in juice and economy bottled water. Coca-Cola HBC Eesti AS remains the leading player, with a strong presence across key categorie

RTD coffee plays a niche, seasonal role in Estonia, with demand impacted by weather conditions and competition from energy and functional drinks. Its convenience and energising properties appeal to younger and middle-aged consumers, but limited differentiation restricts broader adoption. Paulig maintains leadership, leveraging a wide product portfolio, while Starbucks-branded offerings are gaining traction. Planned 2026 sugary-drinks taxation may affect sweetened variants, encouraging reformulat

Energy drinks in Estonia continue to benefit from strong demand for functional, on-the-go beverages, appealing to students, young adults, and busy professionals. Reduced-sugar variants are gaining traction as consumers look for energising options with fewer calories. Market leaders, especially Red Bull, sustain interest through frequent flavour rotations and high-visibility experiential marketing. Coca-Cola is strengthening its position through heavy investment in Monster and Burn. The upcoming

Demand for sports drinks in Estonia is being impacted by rising interest in fitness and functional hydration, although competition from energy drinks and functional waters continues to limit category expansion. Reduced-sugar variants are gaining traction with health-conscious consumers, while brands are increasingly focusing on added electrolytes, vitamins, and recovery-support ingredients. A Le Coq maintains a key role with Arctic Sport, although premium and international players continue to ga

Demand for juice in Estonia is being shaped by rising global ingredient costs, growing sugar awareness, and shifting consumption habits, with many adults skipping juice at breakfast and parents favouring water for their children. Not-from-concentrate 100% juice, led by Don Simon, remains the most resilient category. A Le Coq retains the dominant player with Aura and Active, though private label offerings from Maxima and Lidl increasingly attract value-focused shoppers. Limited innovation, reduce

The Estonian hot drinks market is heavily influenced by price pressures, higher VAT rates, and cautious consumer spending. Coffee remains the dominant choice, although everyday consumption is affected by rising global prices, with fresh ground coffee pods gaining traction due to their convenience and premium appeal. Fruit/herbal teas continues to benefit from seasonal demand and health-oriented consumption, particularly during the winter season. During the forecast period, premium coffee offerin

Other hot drinks in Estonia remains a low-priority category, with chocolate-based beverages limited by cultural preferences and growing consumer health consciousness. While plant-based drinks is emerging, it still occupies a small share. Supermarkets and hypermarkets remain the main distribution channels, with discounters expanding rapidly, led by Lidl with its private label assortment. Nestlé’s Nesquik leads sales, supported by Mondelez’s O’Boy, while AbeStock is carving a niche through Starbuc

Tea remains a niche category in Estonia, constrained by a strong cultural preference for coffee and a gradually declining consumer base of older consumers. Fruit/ herbal teas remain especially popular, supported by seasonal demand and self-medication traditions, while premium teas appeal to a small, discerning audience. Convenience-driven products like black tea bags are gaining traction, alongside private label offerings such as Lidl’s Lord Nelson. Herbal and medicinal teas sold through pharmac

Coffee remains an essential part of daily routines in Estonia, with consumers increasingly drawn to fresh coffee beans and ground coffee pods for their convenience, quality, and indulgent experience. Traditional brewing methods like French press and automatic machines remain dominant, while instant coffee is losing appeal among younger generations. Modern grocery chains lead distribution, with discounters gaining traction, supported by private label offerings. Moving forward, product innovation

Baked goods fares best among staple foods in 2025, registering both current value and volume growth. Pagar continues to have a commanding lead, supported by its wide portfolio. Supermarkets and hypermarkets dominate distribution, though discounter Lidl continues to make gains. Over the forecast period, there will be growing demand for healthier offerings.

Volume sales flat in 2025. Hot cereals registers highest value growth, largely due to its healthier positioning. Two local companies, that is Balti Veski and Tartu Mill, continue to lead the competitive landscape. Supermarkets and hypermarkets continue to dominate distribution, though discounter Lidl continues to steal value share.

Profit margins tight with constant value sales falling and volume sales flat. Pasta continues to account for most value sales and the premium brand La Molisana continues to steal value share from Barilla. Over the forecast period, there will be growth for niche, healthier options, such as wholegrain pasta and rice.

Overall, the picture is muted, with volume sales falling. However, frozen processed fruit and vegetables fare better, due to their healthier positioning, as they generally do not contain preservatives and in the case of shelf stable fruit, no added sugar. Lidl continues to make gains, as it opens further stores in Estonia. There is limited brand loyalty for processed fruit and vegetables, with price being the main driver of value sales.

While staple foods is expected to register healthy current value growth, constant value growth in muted. A further VAT increase in 2025 adds to inflationary pressure and tightens profit margins. Processed meat continues to be the most popular food staple, though volume sales fall. A cold summer impacts sales, as there is less barbecues. Private label continues to gain value share, largely due to the continuing expansion of discounter Lidl. Over the forecast period, consumers will seek healthier

It is a negative performance, with volume sales falling. Processed seafood fares better, largely due to its healthier positioning. That being said, processed meat continues to be Estonia’s most food staple in terms of overall value sales. Over, the forecast period, there will be more focus on offerings with a healthier positioning, such as low in fat or nitrate-free.

The Estonian sauces, dips, and condiments market is being impacted by ongoing economic uncertainty and seasonal factors, such as unusually cool summer weather in 2025. Core products like ketchup and barbecue sauces are weather- and occasion-dependent, while mayonnaise faces long-term decline due to health concerns and shifting consumption habits. Pickled products remain stable, benefiting from their status as a traditional, everyday staple, while smaller categories like salad dressings have more

The Estonian edible oils market is largely stagnant, with rapeseed and sunflower oils facing saturation. Olive oil continues to buck this sluggish trend, driven by rising interest in Mediterranean cuisine, healthier diets, and premium-quality offerings from both branded and private label products, such as Maxima’s Well Done range. Health-conscious trends are also influencing consumers, with a gradual move away from traditional vegetable oils towards olive oil and butter. Supermarkets and hyperma

The Estonian sweet spreads market is under pressure from rising prices and changing consumer preferences. Chocolate spreads, the largest category, face falling volumes due to rising cocoa prices and growing health concerns around sugar intake. By contrast, demand for jams and preserves is steadily increasing volume, supported by convenience, low price inflation, and consumer demand for ready-to-use products. Honey consumption remains influenced by local beekeeping traditions, limiting retail sal

The cooking ingredients and meals market in Estonia is characterised by a relatively steady consumer demand, despite ongoing price pressures. Estonians are increasingly health-conscious, favouring higher-quality ingredients, sophisticated recipes, and Mediterranean-style products like olive oil. Local and traditional products remain popular, with pickled cucumbers, regional jams, and honey benefiting from a high level of consumer loyalty. Private label ranges are expanding rapidly, led by Lidl a