In Sauðárkrókur I could finally pick up a bottle of Brennivín: Iceland's signature schnapps made from fermented potatoes flavored with caraway seeds. It's best served very cold and often used as a chaser for Hákarl: fresh shark meat that is hung in a slatted drying house for 4-5 months and consumed in mid-winter. (Such a structure stands in the distance of this photograph, to the left of the bottle)
The closest thing we can find to Brennivín in the states is Akvavit from Denmark which is also very good.
Shark drying shed at BAER:
