Icelandic Cuisine: Traditional Dishes and the Modern Food Scene

Icelandic cuisine starts with the land. Centuries of isolation and limited agricultural land produced a food culture built around what the island provided: sheep, fish, seabirds, root vegetables, and wild berries. The modern Icelandic restaurant scene — especially in Reykjavík — has transformed this heritage into one of Europe’s most interesting dining environments, without losing the ingredient-led simplicity that defines it.

Key Ingredients

Lamb (Lamb)

Icelandic lamb is the foundation of the national kitchen. The sheep roam Iceland’s highlands freely from spring to autumn, grazing on wild herbs, berries, and grasses — a diet that produces a cleaner, more complex flavour than most farmed European lamb. The annual sheep round-up (réttir) in September is a national event.

Where to try it: Kjötsúpa (lamb soup with root vegetables and herbs) is served across Iceland and is the most honest version of traditional cooking. Grillmarkaðurinn in Reykjavík serves it as a fine dining interpretation. In rural guesthouses, slow-roasted lamb shank (lammabógur) is a common menu item from approximately ISK 3,500–5,500.

Seafood

Iceland sits at the confluence of the Gulf Stream and Arctic currents, producing some of the world’s finest cold-water seafood. Cod (þorskur) and haddock (ýsa) are the commercial backbone — both serve as the basis for plokkfiskur, the traditional fish stew made with potato and onion. Arctic char (bleikja) from glacial rivers is prized by both locals and visitors.

Langoustine (humar): Iceland’s langoustine is caught primarily in the waters off Höfn in southeast Iceland, and the town styles itself the langoustine capital of the country. Humarhöfnin restaurant in Höfn serves langoustine mains from approximately ISK 5,900–8,000. In Reykjavík, Sægreifinn (the Sea Baron) at the Old Harbour is the most famous destination for langoustine soup at ISK 1,600–2,000.

Herring: Historically the economic backbone of North Iceland’s fishing industry, herring is less prominent in modern kitchens but still present, especially in Siglufjörður (the former Herring Capital of the World), which has a dedicated herring museum and a traditional herring marinated salad at local restaurants.

Skyr

Skyr is an Icelandic dairy product with a yoghurt-like consistency but technically closer to a fresh cheese. It has been made in Iceland since the Viking age. Modern skyr is a staple of daily Icelandic life — eaten plain, with wild crowberries (krækiber) and a drizzle of cream for breakfast, or blended into desserts and drinks. The protein content is high (10–12g per 100g), and it’s eaten across all age groups.

Skyr is available in every supermarket, café, and hotel breakfast table in Iceland.

Rye Bread (Rúgbrauð)

Rúgbrauð is a dense, dark rye bread traditionally cooked underground in geothermal areas. The dough is placed in a pot and lowered into ground heated to approximately 100°C — cooked slowly over 24 hours. The result is a moist, sweet-smelling bread with a distinctive flavour unlike anything baked in a conventional oven.

Try it: At Geysir (the geothermal area), freshly baked rúgbrauð is often available from vendors. At Laugarvatn Fontana spa, a geothermal bakery demonstration is part of their tour.

Wild Berries

Iceland’s short summer produces crowberries (krækiber), bilberries (aðalbláber), and arctic brambles (hjónaband). These appear in jams, on skyr, in desserts, and in the gin-like Brennivín cocktails at upmarket bars. Wild berry picking is part of everyday Icelandic summer culture.

The Modern Restaurant Scene

Reykjavík has a restaurant scene that significantly outperforms its size as a capital. The New Nordic movement — which emphasises foraged, fermented, and locally sourced ingredients — has influenced a generation of Icelandic chefs.

Dill (Hverfisgata 12): Iceland’s first Michelin-starred restaurant. A tasting menu focused on fermented, preserved, and foraged Icelandic ingredients. Approximately ISK 19,900 per person for the tasting menu. Book weeks ahead.

Grillmarkaðurinn: Mid-to-high range, open kitchen, strong on Icelandic meat and seafood. A reliable choice for elevated Icelandic cooking without the Michelin-level price. Mains ISK 4,500–8,000.

Matur og Drykkur: Traditional Icelandic ingredients (salted cod, lamb’s head, barrel-fermented skyr) interpreted in a contemporary setting. One of the best restaurants for tasting real Icelandic culinary heritage. Mains ISK 4,200–6,500.

Sægreifinn (The Sea Baron): No-frills harbour kiosk famous for lobster soup and whale meat skewers (for those who choose to eat it). The lobster soup at ISK 1,600–2,000 is genuinely outstanding and probably the best food deal in Reykjavík.

Outside Reykjavík

Höfn: Langoustine is the reason to eat in Höfn. Humarhöfnin and Pakkhús both specialise in langoustine dishes — try the langoustine tails with garlic butter (approximately ISK 4,800–6,500).

Akureyri: Iceland’s second city has an underrated food scene. Strikið (panoramic fjord views, mains ISK 3,500–6,000) and Rub23 (sushi and grill, popular with locals) are the best options.

Rural guesthouses and farm restaurants: These often serve the most authentic traditional cooking — lamb soup made from that farm’s own sheep, rúgbrauð baked on site, and skyr from a local dairy. Prices are usually ISK 2,500–5,000 for a main.

Hákarl (Fermented Shark)

Hákarl — Greenlandic shark fermented underground for several months then hung to dry — is the most confrontational of Iceland’s traditional foods. It smells powerfully of ammonia. Icelanders eat it in small cubes, washed down with Brennivín (an Icelandic schnapps). Most food tours include a hákarl tasting; it’s an experience more than a meal. The flavour is strong and acquired. A local shop in Bjarnarhöfn on the Snæfellsnes Peninsula is the best place to try it in context.

Food Experiences

• Reykjavík food tour: Several guided tours (ISK 10,000–16,900) cover the Old Harbour, Hlemmur food hall, and 5–8 tastings. Good introduction to the range of modern Icelandic cooking.
• Hlemmur food hall: A converted bus terminal now housing 10+ food stalls and small restaurants. Good for exploring different Icelandic food styles without committing to a single menu.
• Langoustine festival, Höfn (June): Annual festival celebrating the local catch, with langoustine at reduced prices across town.

Related Guides

• Best restaurants in Reykjavík — Our full list of top picks from fine dining to quick lunches
• Icelandic seafood guide — Fish species, fishing culture, and where to eat the freshest seafood
• Akureyri restaurants and North Iceland food — Dining options across the north
• Street food and cheap eats in Reykjavík — Eating well in Iceland without spending ISK 5,000 per meal