Icelandic Souvenirs You Can’t Forget To Buy

As you’re planning your trip to Iceland, something that often doesn’t deserve enough attention is figuring out what to buy in Iceland before you go. This could be for yourself or for family and friends back home. It’s worth thinking about Icelandic souvenirs to buy so you can plan those stops along the way.

Best Icelandic Souvenirs To Bring Home

Iceland is such a visually stunning place that will surely create some epic memories during your time there but aside from memories and photographs, what should you think about buying? Here are the must-buy Icelandic souvenirs that best represent the country, is easy to pack, and is actually practical and useful.

#1 Icelandic Wool Sweaters

When you’re walking around the streets of Reykjavik or anywhere in the island for that matter, you’ll quickly learn that locals have a keen sense of fashion. Everything they wear is sharp, warm, and practical. Part of that dress are Icelandic wool sweaters which are called lopapeysa.

The island is home to ridiculously high quality wool and that is the foundation of these stylish sweaters that often feature simple diamond and zig-zagging lines in neutral and earthy tones.

One of the things many people underestimate when thinking about what to wear in Iceland is how cold it is so if you end up buying this as a souvenir for yourself at the beginning of the trip, the lopapeysa could help fill the gap in your gear and also help you fit in like a local Icelander.

If you’d love to own one (or buy as a souvenir), make sure to include a stop at one fo the stores or markets in your Iceland itinerary.

#2 Chocolate-Covered Liquorice

I know, not everyone likes it but as it turns out, Iceland has a bizarre obsession with liquorice. When you start poking around different grocery stores, gas stops, and general stores, you’ll realize that more than half of the selection has some sort of liquorice.

One that’s perhaps worth trying even for the non-believers is chocolate-covered liquorice. It sounds strange but could be that perfect combination that’ll make your head tilt in surprise.

So when we’re talking about what is Iceland known for, this totally fits the bill. Just look for the words Lakkrís (liquorice) and Súkkulaði (chocolate).

The best-known brands are Appolo Lakkris and Sirius.

#3 Map of Iceland

I have no doubt that you’ll have a grand adventure on your road trip around Iceland like our 8 day Iceland itinerary.

Thinking about your home decor at home, a map of Iceland makes an awesome souvenir for yourself. Not only will the geography be that much more meaningful to you, it would make for a really great statement piece.

Especially when shopping around Reykjavik, you’ll notice that there are a number of shops that sell art and unique crafts.

During our trip, we found a number of graphically stylized maps of Iceland that we just couldn’t say no to. And now, it’s a permanent display piece in our home.

#4 Omnom Chocolate

If you love chocolate, you’re going to love the artisanal chocolatiers, Omnom. Located in Reykjavik, you’ll find unique creations that range from Black N’ Burnt Barley, S’mores Kit, Omnom Krunch, Sea Salted Toffee, and of course Lakkrís.

Known as Iceland’s leading chocolate brand, they take a bean to bar approach and blending them with other ingredients to create unusual and wonderful combinations.

You can visit their chocolate factory at Hólmaslóð 4, located in the Grandi harbor area of downtown Reykjavik. Here, you’ll find a their widest selection of chocolate products, ice cream, and also factory tours that are offered three times daily, year-round.

These chocolates also make great road trip snacks so grab a bunch to devour after you pick up your car rental in Iceland.

#5 Brennivín Icelandic Scnapps

Alcohol is notoriously expensive in Iceland which is why all the Iceland guides will tell you to buy it at the airport duty free right after you land.

Brennivín is one of the Icelandic souvenirs that you definitely want to consider if you’re a fan of clear, unsweetened schnapps.

Made of fermented grain or potato mash and flavored with caraway, this is the traditional shot of choice for locals.

#5 Reyka Vodka

Since we’re on the topic of liquor, Reyka Vodka is relatively new, launching in 200, but has quickly become one of the most popular made in Iceland products to gift to family and friends back home.

This vodka is hand crafted in Iceland using its glacial spring water that is distilled through lava rocks to create an ultra-smooth, crisp, and clean taste. The distillery itself is also geothermally powered.

#6 Fish Oil

Turns out that Icelanders claim to incredible levels of health and happiness is in a diet that’s rich in fish and fish products such as fish liver oil. What’s in it is Omega-3 fatty acid and not only does it have huge health benefits, it also helps with the incredibly shortened days of winter which may lead to seasonal affective disorder (SAD).

We were certainly not well-versed in this until the shock of our first breakfast at the Hilton Nordica Reykjavik. Next to the buffet of croissants and eggs was a yellow bottle of something called Lýsi. We asked what it was and we were told the story around Omega-3 and how this translates directly to fish liver oil in Icelandic.

Starting at a young age, fish oil is consumed as a food supplement and what you’re suppose do to do is take a shot of it or spoonful every morning.

Fish oil is incredibly expensive back at home so as far as Icelandic souvenirs go, this one is packed with health benefits and value.

#7 Blue Lagoon Skin Care

A trip to Iceland wouldn’t be complete without a spa day at Blue Lagoon. I encourage you to do the Premium package which includes a Silica mud mask to feel the benefits of one of their products first-hand.

When you’re done, you’ll have a chance to browse their store where some of their most popular items are their Silica Mud Mask, Algae Mask, Mineral Mask, Lava Scrub Mask, and Algae Bioactive Concentrate Face Oil.

Whether for you or someone back home, these lavish beauty products certainly belong in the treat yourself category.

#8 Lava Rocks

You could have a pet rock collection or you can look for Icelandic lava rock incorporated in jewelry or even simply as a magnet if you collect things when you travel.

As a country with active volcanoes and was formed by volcanoes, this is a natural souvenir from Iceland that makes a great convesation piece.

What I don’t want you to do is to steal lava rock from its natural environment as this is against Icelandic law. Instead, be on the lookout of how local designers are incorporating lava rock with elements of silver and other materials in jewelry.

#9 66° North

Consider this to be the Canada Goose of Iceland. 66° North specializes in technical outdoor gear and has been keeping Iceland warm since 1926. Where Icewear is known for wool sweaters, you’ll be coming to these guys for your waterproof, windproof, and breathable layers.

In our guide for what to wear in Iceland, you’ll read that we recommend 66° North as the spot to pick up anything that you might’ve forgotten at home.

With its rugged landscape, their made in Iceland products have you covered to allow you to explore the island protected from the elements and in extreme comfort.

Whether you’re grabbing an emergency fleece vest or wanting to buy a thoughtful Icelandic souvenir, you can’t go wrong with this company.

#10 Einstök Beer

This is completely subjective but out of all the different brews we tried in Iceland, the Einstök Icelandic White Ale was our favourite. Brewed with Icelandic water, a touch of oats, and hints of orange and coriander.

This white ale is perfect for those that also love beers such as Belgian Moon and other Belgian-Style Witbier.

If this doesn’t fit your flavor-profile, Einstök also does everything from lager, pale ale, porter, Scottish ale, a berry ale, winter ale, and other seasonal specials.

Another popular brand is Viking Gold.

#11 Icelandic Sea Salt

Iceland is incredibly mineral-rich and thanks to all of that geothermal energy (the same heat that powers Blue Lagoon), and Arctic sea water, the result is high quality sea salt.

Companies such as Saltverk and Norður Salt create unique blends of salt that you can find only in Iceland. Mixes such as thyme, birch smoked, rhubarb, blueberry, lava, seaweed, and of course, liquorice are a perfect pairing for all dishes from gourmet to basic.

#12 Arctic Thyme Tea

Also known as in Bloðberg Icelandic, this is a traditional tea that has a distinct alpine taste. This is made from a wild thyme that can be found all over the island.

This type of tea is a natural remedy used by locals for its antibacterial properties and is good for upset stomach, cold, and flu.

Tea is normally not something you look for in Iceland but if you’re doing some grocery shopping, make sure to take a peek at their tea section.

Souvenirs in Iceland You Should Avoid

There are of course many Icelandic souvenirs that you can pick up but there are a few that you should try to avoid, mainly because they’re not actually made in Iceland.

This applies to almost any country you go to.

Along the main strip of Laugavegur, you’ll find plenty of generic Iceland gift shops. Locals call these “Puffin Shops” as places that sell things exclusively made for tourists.

Items you’ll find here typically include stuffed puffins, Viking helmets, shot glasses, keychains, and magnets. All of these are made in China and nowhere close to being local.

Instead, think about heading to the Kolaportid Flea Market, Thorvaldsen’s Bazaar, or the many thrift stores in Reykjavik to find true local gems.

I’d also avoid buying reindeer pelts. This is maybe more of a personal preference but it’s the same idea of buying fur because animals need their coats more than we do.

How Does The Iceland Tax Free Refund Work?

While it is expensive to go shopping in Iceland whether it’s for souvenirs or basic groceries, something handy to know is that Iceland has a robust tax-free refund program.

The reason why things are so expensive in Iceland is because of their value added tax (VAT) which is a whopping 24%.

Where can you get a tax free refund?

Anytime you’re making a purchase greater than 6,000 ISK ($47 USD) including VAT at one store, you are eligible for tax free shopping where you are entitled to 14% back in refunds.

The only exception are for books where the refund rate will be closer to 11%.

TIP: Pool your purchases if you’re travelling in your group. If you’re really ambitious, you can see if other tourists at the store are interested in pooling and you coordinate how to handle the refund.

Who is eligible for a tax free refund?

• Non-Iceland residents

What is eligible for a tax free refund?

• Purchases must be made at stores that offer tax free refund.
• Your form must be stamped within 3 months of purchasing. Afterwards, you can make your claim at any time afterwards.
• You must have the items with you at departure from Iceland.
• Restaurants, hotels, tour operators, and any services don’t qualify.

How does the purchase process work?

When you make a purchase at a store that has the tax free sign outside and you make a minimum of 6,000 ISK purchase, the retailer will print out a receipt with a tax free form built-in. The retailer with sign or stamp it. They will also provide an information booklet with more information about the Iceland tax free program.

With the receipt stored in the pouch of the booklet, you will then fill out the remaining parts of the form with:

• Full name
• Address
• Country
• Passport number
• Signature
• Credit card number

How to prepare your purchases for departure?

When making your claim at the airport, the customs officer may ask to look at the items purchased so you need to make sure it’s in an easy-to-access compartment of your bags and that they’re organized together.

Plan to go to the airport earlier than normal if you’re processing a tax free refund. The hours of operations are designed to be during flight operations which means that they’ll align with all outbound international flights.

I recommend going to the airport 2 to 2.5 hours ahead of your departure.

TIP: Take pictures of your receipts so you have a record of it.

How to make your tax free refund?

For most people, you’ll be departing Iceland from Keflavik Airport.

Step 1: Get your refund validated

Before you even check in your luggage, head to the arrival hall opposite to the car rentals and follow the “Tax Free” sign. Note that once you clear security, you won’t be able to make your claim.

If your purchase is between 6,000 and 100,00 ISK, you will head to Arion Bank (also labelled as Currency Exchange) to have your tax free refund form stamped.

At this point, they may also ask to inspect the items being claimed. Make sure the goods are unused.

For a purchase higher than 100,000 ISK, it has to be signed by Customs. This is literally connected to the bank so you won’t miss it.

Make sure to review this map of Keflavik to help you navigate.

Step 2: Claim your refund

Now that you’re export validated, you will then head to the “International Refund Point” which is right across from the bank and labelled as “Tax Refund”.

This is operated by two companies in Iceland – Global Blue and Planet Payment. You can choose between either of them as they operate the same way.

At this office, they will process your refund. At this point you can choose to receive your refund in the form of cash or to your credit card. For cash, a fee may apply so most travellers will opt for a credit card refund. and this is where your credit card comes into play. The information is entered into the system.

You will have to then wait 6-8 weeks for the refund to arrive on your credit card.

The whole process here is incredibly fast.

Where else can you claim Iceland tax free?

If you’re not leaving from the Keflavik Airport, you can also make a claim from Reykjavik Airport.

For sailboats, cruise ships, and private aircraft, and other vessels, custom offers arrive on board for custom clearance before departure.

What if you’re in a rush?

There is a Global Blue mailbox near the Customs office so you can mail your completed form, stamped Tax Free Form, and receipts to Global Blue for a refund for your credit card.

Use a prepaid envelop if one was provided by the souvenir shop or you’ll have to use your own envelope with your own postage.

This is the worst-case scenario. Ideally you plan for enough time and arrive at the airport earlier so you can do this.

TIP: Make sure you add your e-mail address in case they need to reach out to you.

Do you need a special tax free receipt to be able to claim a tax free refund?

So you’re probably wondering, can you buy Icelandic souvenirs from a grocery store and claim a refund?

Unfortunately, you won’t be able to because one of the first requirements for a refund is to receive a special form printed on the receipt followed by a signature or stamp from the retailer.

That said, anytime you’re making a purchase of goods over 6,000 ISK, you should ask the store whether they offer tax free.

Where to Buy Icelandic Souvenirs Online

If you’ve returned home and realized you wish you bought something while you were there or if you really loved something and want more of it, the good news is that there are ways order many authentic Icelandic products online.

• Icelandic wool sweaters – Icewear
• Chocolate-covered liquorice – Nordic Store
• Map of Iceland – Etsy
• Omnom Chocolate – Omnom (they ship to USA and Canada)
• Fish oil – Nordic Store or there’s always Amazon.
• Blue Lagoon skincare – Blue Lagoon does e-commerce in the US and EU.
• 66˚ North – 66˚ North
• Icelandic sea salt – Shop Icelandic
• Arctic thyme tea – Nordic Store

Which Souvenirs in Iceland Will You Buy?

There’s plenty of Icelandic souvenir options to choose from now that you’ve gone through the whole list. I think if anything, you’ve hopefully seen that there is really a wide variety of gifts that you can bring home.

The key is to remember to look out for some of these things that interest you, plan for specific stops, and also to take advantage of the tax free refund.

So which of these will you be buying on your trip to Iceland?

Looking for more gift guides?: We have our must-buy gifts for travel lovers, and also all the souvenirs you should buy in Japan.

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