How expensive is food in Iceland?
Iceland is renowned for its stunning landscapes and unique culture, but many travelers are surprised by the high cost of food. Whether you’re dining out or shopping for groceries, understanding food prices can help you plan your budget and avoid sticker shock.
Dining Out in Iceland
Eating at restaurants in Iceland is generally more expensive than in many other countries. Here’s what you can expect:
- Mid-range restaurant: A main course typically costs 2,500–4,500 ISK ($18–$33).
- Fast food meal: Around 2,000 ISK ($15), whether it’s a burger combo or a basic noodle bowl.
- Coffee & pastry: A cappuccino and a cinnamon bun can cost around 1,200–1,800 ISK ($9–$13).
- Fine dining: High-end restaurants may charge upwards of 10,000 ISK ($70+) per person for a full meal.
If you’re dining out daily, costs can add up quickly—especially in Reykjavík and tourist hotspots.
Grocery Shopping for Budget Travelers
Cooking your own meals is one of the best ways to save money in Iceland. Supermarkets like Bónus, Krónan, and Nettó offer the best value.
Sample Grocery Prices (as of 2025):
- Bread (loaf): 450 ISK ($3.30)
- Milk (1 liter): 220 ISK ($1.60)
- Cheese (1 kg): 1,500 ISK ($11)
- Eggs (12): 600 ISK ($4.40)
- Apples (1 kg): 500 ISK ($3.70)
- Pasta (500g): 300 ISK ($2.20)
Pro tip: Avoid convenience stores like 10-11, where prices can be up to 50% higher.
Tips to Save Money on Food in Iceland
- Cook at your accommodation – Most Airbnbs and hostels have kitchens. Even basic cooking can save you thousands of krónur.
- Take advantage of lunch deals – Many restaurants offer affordable “dagens rett” (dish of the day) between 11:30–14:00.
- Pack snacks – Energy bars, nuts, or dried fruit from home can save you from impulse buys.
- Shop like a local – Visit Bónus or Krónan and skip imported brands. Icelandic dairy, bread, and skyr are affordable and high-quality.
What About Alcohol?
Alcohol is heavily taxed and sold only in state-run stores called Vínbúðin (except for low-alcohol beer in supermarkets). Expect to pay:
- Beer (500 ml): 400–700 ISK ($3–$5)
- Bottle of wine: 2,000–4,000 ISK ($15–$30)
- Cocktails at bars: 2,000–3,000 ISK ($15–$22)
If you drink, consider buying duty-free on arrival at Keflavík Airport.
4 Key Takeaways
- Food in Iceland is expensive, especially when dining out.
- Grocery shopping and self-catering can cut your costs by more than half.
- Supermarkets like Bónus and Krónan offer the best deals.
- Eating smart lets you spend more on adventures—not sandwiches.
Coming up next:
▶️ Do I need to tip in Iceland?
▶️ What should I know before visiting a swimming pool in Iceland?
