Märt Meesak: Only devoted die‑hards will keep working in the foodservice sector

Eating out is not a luxury, and only the true fanatics of the foodservice sector — those who have not yet given up — will continue operating, writes Märt Meesak. ERR recently published an extensive overview of the state of Estonia's foodservice industry. Nearly every month, if not every week, brings news of restaurants closing. The reasons are always the same: costs exceed revenue. Estonia has the highest VAT on food and dining out in Europe after Denmark — roughly twice the EU average. What makes me especially disheartened about the arguments coming from leading politicians is the claim that "the strongest will survive," or that eating out is a luxury. Even worse is the suggestion that the sector is not a significant part of Estonia's economy, so why worry about it. In reality, the entire sector is speeding toward a crisis — if it isn't already there. The tourism sector is one of the most beneficial for the state. A functioning tourism industry brings in foreign money through visitors, who also pay taxes on everything they consume here (VAT, labor taxes, alcohol excise, fuel excise). Thanks to tourism, many other businesses get work: laundries, courier companies, security firms, cleaning companies, farmers, manufacturers. The list is long, because the economy is a system of connected vessels. Tourists also take taxis, rent cars, and so on.

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Published

19 Sep 2026

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English