Price index of first-hand domestic sales, 15 November 2011

An increase in prices of energy goods played the largest role in bringing the overall price level up in November. Prices in mineral fuels, lubricants and related materials rose by 4.7 per cent from October to November due to higher oil and electricity prices. Prices of crude oil (Brent Blend, measured in Norwegian krone) increased by 3 per cent as a result of a combination of higher oil prices in the world markets and a depreciation of the Norwegian krone against the US dollar in November. Electricity prices increased by 15 per cent, due to a higher system price at NordPool and higher prices of electricity sold to Norwegian households.

Food and machinery and transportation equipment were two other groups that increased in November. Food prices rose by 0.5 per cent and were largely influenced by higher prices for Norwegian-produced foods, while increased prices in machinery and transportation equipment emanated from higher prices of imported goods. Higher prices for road vehicles, as well as office machines and data processing machines contributed most to the price increase in machinery and transportation equipment in November.

Price decline in crude materials

Prices in crude materials, inedible, except fuels fell 4.4 per cent. Almost all sub-groups experienced price falls in November, and the most important contributors were metalliferous ores and metal scrap, as well as wood, lumber and cork. Prices in these sub-groups decreased by 8.9 and 0.6 per cent respectively.

Twelve-month change: 2.9 per cent increase

The PIF increased by 2.9 per cent from November 2010 to November 2011. The main contributor to the twelve-month change in the PIF was mineral fuels, lubricants and related materials, which increased by 10.9 per cent in the period. However, there were large differences within the commodity group. Prices of petroleum and petroleum products increased by 24.5 per cent due to an increase in world prices of crude oil, while prices of electricity fell 19.8 per cent in the same period.

Food and chemicals also increased slightly in this twelve-month period. Chemicals rose by 5.9 per cent as a result of higher prices for organic and inorganic chemicals, as well as higher prices for fertilizers and plastics. The price rise in food of 2.2 per cent was due to Norwegian-produced and imported meat and meat products, Norwegian-produced cereals and higher international prices for coffee, tea, cocoa and spices.

Lower prices of metalliferous ores and telecommunications apparatus

Crude materials and machinery and transportation equipment were two groups with a price decline in the twelve-month period. Lower prices of metalliferous ores and metal scrap were the main reasons for the price decline in crude materials, while lower prices for machinery and transportation equipment were mainly caused by cheaper telecommunication apparatus.