Price index of first-hand domestic sales, 15 September 2008

The price index of first-hand domestic sales rose by 1.4 per cent from August to September. The largest contribution came from mineral fuels, lubricants and related materials, with a change of 4.0 per cent. Within this group, the price of electricity and oil products influenced in opposite directions. While the price of electricity increased relatively sharply, the price of oil products decreased compared with the month before.

The price of electricity has seen a steep increase from May to September this year, and with a 26.0 per cent increase from August to September, the spot price level for the last month is among the highest ever measured at Nord-Pool (The Nordic power exchange). Two of the reasons behind higher spot-prices are lower spot price differences between Northern and Southern parts of Norway, and lower reservoir levels. The reason behind the 4.5 per cent drop in the prices of oil related products was mainly due to a lower price of oil (Brent blend measured in NOK).

Prices of chemicals and related products increased by 4.2 per cent from August to September, mostly due to a 19.1 per cent rise in prices of inorganic chemicals. Prices of food products increased moderately from the previous month. Within the latter group, the largest contributors were higher home market prices for cereals and cereals preparations, higher prices for vegetables and fruits and feeding stuff for animals. Other commodity groups saw just moderate price changes from last month.

Twelve month change: Price growth of 13.7 per cent

The price index of first-hand domestic sales rose by 13.7 per cent from September 2007 to September 2008. The largest contribution came from a 57.3 per cent increase in prices of mineral fuels, lubricants and related materials, mainly due to higher prices of both electricity and oil products. The twelve month price growth of chemicals and related products was 19.3 per cent, while prices of manufactured goods was 8.7 per cent higher in September than twelve months earlier, mostly because of higher prices of iron and steel.