The Ministry of Social Affairs has prepared Estonia's alcohol policy plan for the next 10 years and has been accepting feedback on it until Christmas. The plan includes several proposed changes, such as linking alcohol excise duties to the inflation rate to prevent alcohol from becoming disproportionately cheap compared to other goods. The policy also proposes a ban on online alcohol sales.

"If these proposals are fully implemented, only large producers like Liviko and A. Le Coq would survive in the long term in Estonia. Small producers would be significantly affected, particularly by the complete ban on online sales. Large producers, who have ready access to retail shelf space, would adapt much more easily," said Henri Arras, a board member of the Estonian Small Distillers Association.

Currently, alcohol excise duties are calculated based on ethanol content. However, Arras argues that a minimum price for alcohol should be introduced. Such a change would primarily increase the price of cheaper alcoholic beverages.

"There would be a minimum excise duty for products. For example, a bottle of 40-percent-strength alcohol would have a minimum excise of some set amount, with another component based on its alcohol content. Right now, the duty is solely based on alcohol content, which means mass production can produce alcohol at very low costs – essentially vodka at the price of milk," Arras explained.

The Ministry of Social Affairs also wants to introduce a time-limited and fee-based alcohol sales licensing system, as Estonia is one of the few countries without such a system.

"If we talk about permits or licenses for sales, these would create uniform regulations. We remember the time in the early 2000s or mid-1990s when municipalities regulated alcohol sales independently and people simply drove from one municipality to another to buy alcohol anyway," said Veikko Luhalaid, head of the Association of Estonian Cities and Municipalities.

Luhalaid supports banning alcohol sales near childcare institutions, but he raised concerns about enforcement. "The question arises: who will monitor this, and do municipalities even have the legal authority to do so?" he asked. Rimi purchasing manager Talis Raag found the restriction reasonable but noted a significant caveat.

"The question is how this would be implemented in practice. Suppose there's a Rimi store at a certain location and a childcare center opens nearby – does the Rimi store have to stop selling alcohol, or is the childcare center prohibited from opening there?" Raag questioned.

Retail chains are generally positive about restricting alcohol sales hours, as it would allow them to reduce store opening hours, which would make economic sense. However, no one is willing to take the first step unilaterally.

The Ministry of Social Affairs stated that feedback is under review and a final version of the alcohol policy for 2025-2035 will be drafted based on the responses.

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