Opponents defeated the measure by a margin of 52.8% to 47.2%, the National Electoral Commission said. The result puts the divisive issue to rest for now.
Country holds a knife-edge referendum that cuts across political divides on taking step closer to Brussels after Trump threats towards Greenland
For a long time, the prospect of becoming the third generation to run his family farm was an exciting one, says Davíð Clausen Pétursson.
Icelandic farmers were starting to get higher prices for their meat and milk, debt was no longer an occupational prerequisite and innovation was on the rise.
Supporters of EU membership believe it offers protection and economic benefits. Opponents argue Iceland already enjoys European integration without losing control over its resources.