External trade in goods, indices of volume and price, Q4 2007

Import prices of goods excluding ships and oil platforms decreased by a slight 0.3 per cent in the fourth quarter of 2007 compared with the third quarter of 2007. Prices were lower in most groups, particularly for crude materials such as metalliferous ores, which fell by 4 per cent. Furthermore, prices of manufactured goods such as office machines and telecommunications equipment fell by 4 and 6 per cent respectively.

Import prices of goods excluding ships and oil platforms also decreased in the fourth quarter of 2007 compared with the same quarter in 2006. The 1.9 per cent decrease was mainly due to lower prices of manufactured goods such as metals excluding iron and steel, which fell by 1.6 per cent, office machines, which fell by 14 per cent, and clothing, which fell by 5 per cent.

Norwegian food prices affected by higher food prices on the world market

Import prices of food stuff decreased by 1.5 per cent in the fourth quarter compared with the corresponding quarter in 2006. Still, it may seem as if the price level of some goods was affected by higher food prices on the world market in the fourth quarter of 2007. Among other things, cereals prices rose internationally, and also rose by 3 per cent in Norway.

Until the fourth quarter of 2007, higher food prices on the world market have not had any major impact on Norwegian prices due to high customs duties and the political regulation of prices of important agricultural goods. In the fourth quarter of 2007, however, the customs duties were reduced to around zero, and as a consequence the import price of cereals was higher. The effect of these changes is evident from November onwards.

Higher imports of food stuff, machinery and clothing

From the fourth quarter of 2006 to the fourth quarter of 2007, the total import volume increased by 10.8 per cent. Imports were higher for food stuffs such as fish and cereals, up 48 and 21 per cent respectively. Furthermore, power generating machinery and clothing both increased by 14 per cent.

Higher export prices: Still a high level on oil prices

Export prices of goods excluding ships and oil platforms increased sharply in the fourth quarter of 2007 compared with the fourth quarter of 2006. The increase was 8.5 per cent despite the strong krone (NOK). The krone was 3 per cent higher in the first half of 2007 than in the second half of 2007, and about 1.5 per cent higher in 2007 than in 2006. The increase in export prices was mainly due to a 15.4 per cent increase in fuel prices.

The weaker US dollar had a negative impact on export revenues measured in NOK. However, this was offset by the record oil price.

Higher exports of fish, gas and electric current

The demand for Norwegian goods is still high. From the fourth quarter of 2006 to the fourth quarter of 2007, the export volume of goods excluding ships and oil platforms increased by 2.8 per cent. All main groups experienced an increase in exports. Exports of fish, such as trout and mackerel, chemical products as well as industrial machinery increased by 11, 44 and 48 per cent respectively. A major increase in exports of gas and electric current offset the downward trend in exports of petroleum and petroleum products, which fell by 5 per cent.

Adjusted for seasonality, the export volume of goods excluding ships and oil platforms increased by 3.1 per cent from the third to the fourth quarter of 2007.