Producer price index, 15 December 2003

Prices of crude oil (Brent Blend - measured in NOK) went down 0.6 per cent from November to December. The decline was mainly caused by a strengthened NOK compared to USD. Electricity prices went down about 9.5 per cent, mainly due to mild weather and satisfactory precipitation.

The largest decline within manufacturing occurred for refined petroleum products, where prices went down 2.2 per cent from November to December. According to the London Spot Markets prices of heavy fuel oil went down about 16 per cent in this period (measured in NOK). This decline was mainly dampened by a 2.1 per cent rise in prices of basic metals. Figures from London Metal Exchange showed that prices of nickel continue to increase. Last months rise of about 17 per cent was the largest monthly increase in 2003.

Among the main industrial groupings energy goods went down 1.1 per cent, while consumer goods declined 0.1 per cent.

12-month rate, December 2002 to December 2003

Manufacturing prices have increased by 3.3 per cent compared with last December. Prices of most manufacturing products increased in this period. The largest rise was an 18.6 per cent increase in basic metals. According to London Metal Exchange the price of nickel has risen about 90 per cent in this period (measured in NOK). Chemicals are up 4.5 per cent, while refined petroleum products have increased 3.5 per cent during the last 12 months.

The total index is up 0.7 per cent compared with December 2002. Crude oil prices show only minor changes, while electricity has declined 32 per cent. The 12-month rate of both products decreased noticeably from November to December. The largest decline occurred for electricity, where the 12-month rate went from 9.4 per cent to -32 per cent. This development was due to increased prices at the end of 2002 in combination with prices increasing in December this year.

Among the main industrial groupings prices of intermediate goods increased about 5 per cent the last 12 months, while consumer goods went up 0.1 per cent. Energy goods went down 1.8 per cent.

Commodity price index for industrial sectors

As announced previously the articles for the Producer price index and the Commodity price index for the industrial sectors are now coordinated. The web pages for both surveys will remain the same for the time being - www.ssb.no/ppi_en and www.ssb.no/vppi_en.

The monthly and the 12-month rate for the surveys showed no differences in December. Therefore no new information is added about the commodity price index.

One decimal from January 2004

Starting with the publishing of January figures all indices will be produced with one decimal. Two decimals have a tendency to give an exaggerated impression of the accuracy of the estimates. In addition we want to harmonize the indices with common practice - where one decimal is used.