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DALL·E 2024-09-25 13.57.12 - An abstract artistic image representing Lithuania, using a bo

LITHUANIA

Government
Political situation

The 18th Government of Lithuania, led by Prime Minister Ingrida ŠimonytÄ—, took office in December 2020, following the Seimas elections. It was formed by a coalition of three political parties: the Homeland Union - Lithuanian Christian Democrats, the Liberal Movement, and the Freedom Party. ŠimonytÄ—'s government has focused on several strategic reforms aimed at modernizing and improving key sectors such as education, innovation, and public administration. Notable projects include the Millennium High Schools program, digital education transformation (EDtech), and the development of a long-term care service delivery model.

 

In line with the strategic agenda, the government has also made significant efforts toward regional development, digital transformation, and environmental sustainability. The digital transformation efforts, overseen by the Ministry of the Economy and Innovation, include open data initiatives and the digitization of social security and healthcare systems. On the environmental front, the government is advancing the Green Deal through the implementation of sustainable economic measures and enhancing the regional investment potential. These initiatives are designed to ensure a balanced, future-oriented governance approach that strengthens Lithuania's social, economic, and environmental foundations.

 

Alcohol policy has also been a point of debate under ŠimonytÄ—'s government. During its early tenure, the government proposed revisions to existing alcohol regulations, including lowering the legal drinking age from 20 to 18, allowing alcohol brand advertising on social media, and extending Sunday retail hours. However, these proposed changes were met with resistance in the Lithuanian Parliament, and on January 18, 2022, the amendment bill was rejected. This decision reflects the complexity of balancing progressive reforms with public health considerations in Lithuania’s policy landscape.

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Prime Minister Ingrida ŠimonytÄ—

Alcohol policy since 2016

Since 2016, Lithuania has implemented a series of bold and comprehensive reforms to address its high rates of alcohol consumption and related harms. One of the key measures was the significant increase in excise taxes on all alcoholic beverages, which reduced the affordability of alcohol and contributed to a marked decrease in male mortality rates. The government also introduced stricter limits on the sale of alcohol, with retail hours restricted and off-premise alcohol sales prohibited after certain hours. In 2018, the minimum legal drinking age was raised from 18 to 20, further reinforcing the country’s commitment to reducing alcohol consumption and its societal impact.

 

A landmark decision came in 2018 when Lithuania became the first European Union country to implement a comprehensive ban on alcohol advertising. This ban extends to foreign and domestic TV, radio, printed media, and the internet, effectively removing alcohol promotion from mainstream and digital platforms. While other countries such as Norway, Iceland, and the Faroe Islands have similar regulations, Lithuania’s decision remains unprecedented within the EU. The legislation allows some exceptions, such as displaying brand names and logos at sales points and in certain professional settings. However, the law is stringent in its enforcement, with violations being addressed swiftly by the Department for Drugs, Tobacco, and Alcohol Control, which has the authority to order the immediate removal of any advertising material.

 

These reforms, supported by public health campaigns and WHO recommendations, have significantly reduced alcohol-related harm in Lithuania. Public awareness efforts, including media appearances by experts, have played a critical role in shifting societal norms and making alcohol consumption less socially acceptable. In addition to these legislative measures, Lithuania has been actively involved in international alcohol control research. In 2020, a major research project was launched to assess the impact of alcohol control policies in the Baltic states on public health and economic outcomes. This project, coordinated by the WHO Collaborating Centre for the Prevention and Control of Noncommunicable Diseases at the Lithuanian University of Health Sciences, aims to equip national experts and decision-makers with evidence and tools to evaluate the effectiveness of alcohol policies, including taxation and other regulatory measures. Funded by the United States National Institute on Alcohol Abuse and Alcoholism (NIAAA), the research also contributed to WHO/Europe’s alcohol taxation signature initiative, launched in Vilnius in 2022. The project’s final outcomes will be reviewed in 2025 at a conference co-hosted by WHO/Europe and Lithuania, further solidifying the country’s role as a leader in alcohol control policy.

Big changes
  • Increased taxes on all alcohol products.

  • Implemented a comprehensive ban on alcohol advertising, including billboards, TV, radio, printed press, and the internet.

  • Raised the legal age for purchasing and possessing alcohol to 20 years.

  • Limited alcohol sales to 10:00 AM – 8:00 PM Monday through Saturday, and 10:00 AM – 3:00 PM on Sundays.

Alcohol consumption

In Lithuania, alcohol consumption has remained prevalent, with 84.4% of the population aged 15-64 reporting they had consumed alcohol within the last 12 months, according to a 2021 survey by the NTAKD. Over the previous 30 days, 62.8% of respondents had consumed alcohol, with a notable disparity between genders—72.4% of men and 53.2% of women reported drinking during this period. While alcohol consumption is more common among adults aged 25-54, it is less widespread among younger people aged 15-24. Encouragingly, over the last five years, the number of people consuming alcohol at least once a week has decreased from 33% in 2016 to 24% in 2021, the lowest level since 2004.

 

In 2023, per capita consumption of legal alcohol in Lithuania fell to 11 liters per person aged 15 and over, 0.2 liters less than in 2022. This marked the lowest level of consumption in the past decade. Despite the drop, spirits remained the most commonly consumed type of alcohol, while beer sales saw a 6% increase compared to the previous year. The rise in alcohol prices, driven by a hike in excise duties that raised the price of beer by nearly 15%, may have contributed to the decline in consumption. However, these figures do not take into account alcohol purchased abroad, notably in neighboring Poland where prices are lower, or home-made alcohol.

 

Further indicators of progress include the decrease in alcohol-related deaths, with 625 people dying from alcohol-attributable diseases in 2023, 21 fewer than the previous year. While alcohol dependency, liver disease, and other alcohol-related conditions remain common, the lower death rate suggests the effectiveness of Lithuania's sustained alcohol control policies. Yet, some remain cautious about these trends, citing the need for comprehensive data that includes unrecorded alcohol consumption and the impact of cross-border alcohol purchases.

Consumption
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Alcohol taxation

Since 2016, Lithuania has implemented substantial increases in alcohol excise taxes as part of its broader effort to reduce alcohol consumption and its related harms. In 2017, excise taxes on beer and wine increased by over 100%, while spirits saw a 23% increase. These tax hikes resulted in an average retail price rise of 15.5% for beer, 20.7% for wines, and 7.6% for spirits. The increased taxation was applied based on the alcoholic strength by volume, with specific rates for beer, wine, and spirits detailed in the national law on excise duty. For instance, beer is taxed at EUR 9.46 per 1% alcohol per hectoliter, while pure ethyl alcohol is subject to an excise duty of EUR 2467 per hectoliter.

 

These tax increases were accompanied by a range of other alcohol control measures, including a ban on alcohol advertising and restrictions on sales hours, further limiting alcohol availability. However, the tax policy itself has been instrumental in generating additional government revenue while contributing to a decrease in alcohol consumption. Research shows that despite initial concerns from industry stakeholders, the increase in alcohol taxes did not result in lower government tax revenues. On the contrary, between 2010 and 2020, Lithuania saw a 49.3% inflation-adjusted increase in alcohol excise tax revenue, indicating that higher taxation can effectively balance reduced consumption with increased revenue.

 

Recent research has confirmed that Lithuania’s alcohol excise tax strategy has not only curbed consumption but also strengthened its national budget. A 2024 study analyzing five European countries, including Lithuania, found that increasing alcohol taxes leads to higher tax revenue without significant increases in unrecorded alcohol consumption. Lithuania’s per capita alcohol excise tax revenue was notably higher than in countries like Germany and Poland, showing that taxation remains a key tool in the fight against alcohol-related harm. By continuing to adjust excise taxes in line with inflation and consumption patterns, Lithuania is positioned to further decrease alcohol harm while maintaining strong revenue growth.

Taxation
Alcohol availability

Key points:

  1. Alcohol sales are restricted to between 10 a.m. and 8 p.m. on weekdays and Saturdays, and from 10 a.m. to 3 p.m. on Sundays.

  2. Alcohol sales are banned at petrol stations and specific public locations such as beaches and sports events.

  3. Municipalities have the authority to limit alcohol sales at public events and enforce additional restrictions.
     

In January 2016, Lithuania enforced a ban on alcohol sales at petrol stations, marking a significant shift in reducing alcohol accessibility. The proposal, originally adopted in 2011, faced numerous challenges and delays, with various amendments registered to either postpone or alter the terms of the ban. Opposition came strongly from petrol station representatives, who argued the ban would result in significant job losses. However, a mystery shopping experiment in 2015 revealed that many petrol stations were not adhering to regulations regarding age verification, raising public concerns about underage alcohol sales. The ban eventually took effect, reducing the number of alcohol retail locations by around 600. Despite initial claims, the anticipated job losses did not materialize, and the ban remains an important part of Lithuania's efforts to restrict alcohol availability​.

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The regulations, introduced mainly through the Law on Alcohol Control, have evolved over time. One of the major changes that took effect on January 1, 2018, included restrictions on alcohol sales hours. Alcohol can only be sold from 10 a.m. to 8 p.m. on weekdays and Saturdays, and from 10 a.m. to 3 p.m. on Sundays. Additionally, the legal age for purchasing and consuming alcohol was raised from 18 to 20 years old, and alcohol sales were prohibited at specific public locations such as beaches and sports events.

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Municipalities in Lithuania have also been granted the authority to limit alcohol sales at public events. This decentralization allows local governments to impose restrictions based on the needs of their communities. Another important restriction, effective from 2020, was the ban on outdoor alcohol retail within 40 meters of catering establishments, as well as the prohibition of alcohol trade at temporary pavilions, public beaches, and some events.

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In 2024, the Lithuanian parliament (Seimas) made some amendments to ease certain restrictions. Alcoholic beverages with an alcohol content of up to 15% were allowed to be sold at fairs, exhibitions, and mass events. This was an increase from the previous limit of 7.5% for beer and cider. Additionally, alcohol tastings were legalized on alcohol production premises, expanding the settings where alcohol consumption could occur. However, the overall regulatory framework remains focused on limiting the accessibility of alcohol to the public, especially in high-risk environments.

Availability
Alcohol advertising

Lithuania has taken significant steps in regulating alcohol advertising over the past two decades. In 2007-2008, the country implemented a partial ban on alcohol advertising during the day, restricting it on TV and radio between 6 a.m. and 11 p.m. An amendment passed in 2008 aimed to introduce a full advertising ban in 2012, but it was repealed shortly before taking effect. By 2016, the regulations became stricter, banning promotions that encouraged alcohol purchases, such as competitions or lotteries, and prohibiting advertising price reductions. A pivotal moment came in 2018 when Lithuania implemented a comprehensive near-total ban on alcohol advertising, restricting it across all media platforms, making Lithuania the first European Union member state to take such a step.

 

The 2018 legislation banned alcohol advertisements from TV, radio, print, and online platforms, while allowing limited exceptions for necessary product information, such as brand names, producers, and geographical origin. The law included detailed guidelines for enforcement, designating the Department for Drugs, Tobacco, and Alcohol Control to ensure compliance. This department is responsible for monitoring violations and removing advertising material swiftly if needed. However, despite the robust framework, some companies have exploited loopholes by promoting non-alcoholic beer and wine, which has led to an increase in sales of these products. Additionally, alcohol marketing has shifted toward internet-based content, where influencers promote narratives around drinking culture.

 

Enforcement of Lithuania’s alcohol advertising restrictions remains an ongoing challenge. The Department for Drugs, Tobacco, and Alcohol Control has published clear instructions on what constitutes banned advertising, including restrictions on branding and merchandise at alcohol sales points. Nevertheless, alcohol producers continue to push back, with industry-funded groups and politicians arguing that the regulations are ineffective and should be revoked. As the industry adapts by focusing on non-alcoholic products and digital media, maintaining the effectiveness of these policies will require constant vigilance from authorities.

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In May 2024, the Lithuanian parliament adopted amendments to the Law on Alcohol Control, easing certain restrictions on alcohol advertising. The changes allow online platforms, such as Bolt Food and Wolt, to display alcohol-related information like food and drink pairings, production technologies, and awards received by producers without it being considered advertising. Additionally, alcohol has been legalized as a representation gift, and information about alcohol labelling, origin, and producers can now be published on official websites. These amendments mark a shift toward a more lenient approach to advertising regulations while maintaining a ban on traditional advertising methods.

Advertising
Alcohol policy timeline
Timeline
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