Minister of Regional Affairs and Agriculture Piret Hartman (Social Democratic Party) said that Estonia is one of three European Union countries that does not apply a reduced value-added tax (VAT) rate to food products.

"VAT could be one way to reduce food prices in a way that increases the consumption of locally produced food. So far, we haven't had extensive discussions on this within the coalition, as we've promised to conduct a thorough analysis of the issue," Hartman said.

Kristina Kallas, chair of Eesti 200 and minister of education and research, stated that a preliminary analysis conducted by her party indicates that lowering VAT on food would not result in lower prices. According to Kallas, reducing energy prices would be a more effective way to improve both food affordability and people's overall financial well-being.

"Energy prices are the main reason behind weakened purchasing power in Estonia, as prices have risen significantly over the past three years. I believe the government's priority must be addressing energy costs, because Estonians pay more for energy than our Nordic neighbors, who have higher incomes," Kallas said.

Finance Minister Jürgen Ligi (Reform) has previously stated that he does not support lowering VAT on food products.

According to climate minister Yoko Alender (Reform), the Reform Party's primary focus is on national security and fostering clean economic growth.

"If we can be confident that the war in Europe will end and that Estonia is secure, that would be the most significant factor in ensuring the competitiveness of Estonian businesses. Of course, energy also plays a key role, and we are continuing efforts to lower electricity prices and strengthen energy security," Alender said.

Center Party chair Mihhail Kõlvart recalled that his party had previously submitted a proposal to reduce VAT on food products, but the coalition rejected it.

"This game that's constantly being played in the government, where the Social Democrats act like an opposition party within the coalition, discussing important issues through the media but achieving no real results — this isn't the first time, and it probably won't be the last," Kõlvart said.

Kõlvart sent a letter to the prime minister, proposing the construction of new oil shale-based production capacities to ensure secure electricity supply and affordable electricity prices.

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