The report examines the economic landscape of Lithuania and provides information on major monetary indicators, foreign trade and government finance. The economy expanded in real terms in 2024, driven by private consumption, government spending, investments. However, global economic slowdown, rising geopolitical tensions and economic fragmentation as well as tight financial conditions pose risks to the country’s economic outlook.

Sugar confectionery in Lithuania is expected to see minimal growth in retail volume terms in 2025, in light of ongoing concerns over the health impacts of excessive sugar intake. Perceived old fashioned, products such as boiled sweets and toffees, caramels and nougat continue to decline, as they are considered to contain an excessive amount of sugar in each portion. Consumers are also concerned about the impact of these products on dental health, and as such, are increasingly avoiding eating suc

Retail sales of chocolate confectionery in Lithuania are expected to increase significantly in current value terms in 2025, despite a sharp decline in volume. This trend is largely driven by substantial price increases, fuelled by rising costs of key raw materials, such as cocoa and sugar. As prices climb, consumers are shifting their allegiance towards other types of snacks, especially as cost remains the dominant factor influencing sales. By contrast, strategies such as eco-friendly ingredient

Retail sales of gum in Lithuania are expected to show positive growth in current value terms in 2025, although this is largely driven by price inflation rather than a real increase in demand. Volume growth has stalled and the category also suffers from a lack of innovation and significant new product launches. One notable trend is a slight shift towards larger formats, such as bottles and pouches, compared to traditional smaller packs.

The market for sweet biscuits, snack bars, and fruit bars in Lithuania is expected to remain flat in retail volume terms in 2025, continuing the stagnation observed in the previous year. The category remains under pressure from price inflation, significantly influenced by rising costs of key raw materials such as cocoa. As a result, shrinkflation has become a common strategy - for example, packs of cookies have been reduced to 136g to avoid noticeable price hikes, although per-unit pricing conti

Retail sales of savoury snacks in Lithuania are expected to continue their downward trajectory in 2025, with major categories, such as potato chips, facing stagnation. This comes despite efforts by market players to retain market share through frequent product launches - primarily brand extensions – as exemplified by Lay’s collaboration with Pizza Hut to introduce a range of new pizza flavours. This trend has not been limited to potato chips. Other savoury snacks categories, such as popcorn, are

The number of households is set to slightly decrease, while the average household size will remain unchanged in Lithuania over 2024-2029. Single person households will remain the dominant household type but the fastest household expenditure growth is forecast to be recorded by extended ("other") households. In addition, the share of households living in urban areas is projected to expand to 71.6% by 2029.

Although retail sales of snacks in Lithuania are expected to show robust growth in current value terms in 2025, this is primarily due to price inflation - particularly in chocolate confectionery. Global cocoa prices have surged due to poor harvests and disease in major producing countries, such as Ghana and the Ivory Coast. As a result, categories dependent on chocolate, such as chocolate confectionery and chocolate-coated biscuits, are experiencing a decline in volume sales.

Retail volume sales of ice cream in Lithuania are expected to continue growing in 2025, boosted by favourable weather conditions. Warmer conditions in March and April 2025 contributed to an early start to the season, although a cooler May slightly dampened momentum. Nonetheless, summer is forecast to be hotter than average, supporting further growth. Despite this reliance on weather, producers are investing in consumer education and marketing to help reduce seasonality - particularly within the

Insight into income, wealth and expenditure of consumers and households is vital in helping businesses make strategic decisions with regards to which country (or even which region within a country) to enter, which consumer segment to target, which products or services to market, and at which price point. Other factors such as the size and expansion of the middle class and income inequality are also important in helping companies gauge the potential of a country market.

Following the lacklustre performance of the previous year, sales of alcoholic drinks in Lithuania showed positive volume growth in 2024. This was primarily driven by the strong performance of beer, supported by favourable excise tax policies and a warm summer season. Price increases were modest, having already risen significantly during the 2022–2023 period.

In 2024, beer volume sales experienced positive growth in Lithuania, following a decline in the previous year. This was driven by favourable excise tax policies that helped keep prices competitive, alongside warm summer weather, since beer is widely consumed when socialising in outdoor settings. Renewed consumer confidence, supported by a stable Lithuanian economy, also contributed to this improved performance.

Volume sales of spirits in Lithuania continued to decline in 2024, largely driven by increased excise taxes that pushed prices higher, making these products less accessible for price-sensitive consumers. This, combined with shifting consumer preferences away from neat spirits – such as shots - towards lighter, mixed drinks and cocktails, contributed to the reduction in overall spirit consumption.

Wine performed well in Lithuania 2024, having benefitted from a favourable summer season. Lithuanians show a strong preference for lighter wines, including sparkling wines, which are often used in popular cocktails such as Aperol spritz. Overall, there is a noticeable shift towards white and sparkling wines, as younger consumers tend to favour these lighter options over heavier red varieties.

Cider/perry sales declined in Lithuania in 2024, primarily due to the waning popularity of perceived old-fashioned products such as Fizz (Volfas Engelman AB) and Kiss Svyturys Utenos Alus UAB), typically made by blending apple or pear juice with alcohol. Additionally, cider/perry faces increasing competition from alternatives such as flavoured beer, white and sparkling wine, and spirit-based cocktails.

Volume sales of RTDs in Lithuania remained stagnant in 2024. The category continues to struggle with a negative perception rooted in past associations with cheap, high-sugar products. This reputation, combined with a relatively limited product selection - especially when compared to beer and wine - has held back wider adoption.

In 2024, Lithuania’s cigarette market remained on a steady downward trajectory, driven by a combination of rising prices, tightening regulations, and shifting consumer preferences. Legal sales continued to fall, while illicit trade also contracted, reflecting ongoing enforcement efforts and stricter border controls. At the same time, more consumers, particularly younger ones, are moving away from traditional cigarettes in favour of heated tobacco and vapour products. The market environment is in

In 2024, Lithuania’s tobacco market continued its transformation, marked by a persistent decline in traditional cigarette use and a generational shift in consumption habits. Consumers are moving away from smoking not necessarily by quitting altogether, but by substituting with newer nicotine formats, most notably single use vapes and heated tobacco. These alternatives are perceived as more modern, less harmful, and better aligned with shifting lifestyles. Regulatory pressures, such as the 2023 f

In 2024, the cigar category in Lithuania remained small and largely stagnant, with a stable but limited consumer base and no strong tradition of cigar consumption. Cigars continue to be viewed primarily as a product for occasional use, typically associated with special occasions, or when socialising in cigar clubs. Cigarillos remained significantly larger in volume terms; however, the category experienced a contraction in 2024 following a period of volatility. This decline was driven by the grad

In Lithuania, the smokeless tobacco and nicotine alternatives market is showing contrasting dynamics across categories. Heated tobacco has become a mature and sizable market, growing rapidly until 2023, but showing signs of saturation in 2024. Despite this, industry interviews suggest underlying demand remains solid, but consumer shifts - particularly among younger users moving to single use vaping - are tempering further expansion. Conversely, closed system single use (disposables) continue to

In 2024, colour cosmetics in Lithuania registered strong, if significantly slower, retail volume and current value growth. The category exhibits signs of maturity or even saturation in some areas. New make-up trends move away from heavy applications of products. In general, younger generations are more likely to look for non-mainstream brands as they pursue better value for money and affordability.

In 2024, men’s grooming in Lithuania continued to see modest retail volume growth and a strong, if much slower, increase in retail current value sales. Many men target products that are especially designed for them, with a preference for strong scents, large packaging and a single format. Men's fragrances was the largest category in retail value sales terms at the end of the review period, with a preference for premium brands. The leading brands in men’s fragrances in retail value sales terms in

In 2024, bath and shower in Lithuania registered a slight decrease in retail volume sales and a moderate increase in retail current value sales. At the end of the review period, bath and shower was a saturated category, hampered by limited population and household number increases and little potential for organic growth. Despite low inflation, especially compared with 2022 and 2023, demand stagnated.

Beauty and personal care in Lithuania posted slight retail volume growth but a strong rise in retail current value sales in 2024. This performance is closer to organic growth as the high inflation rates of 2022-2023 were left behind and industry players and consumers could better plan their activities and purchases.