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This is an archived release.
PPI almost unchanged
The Producer price index (PPI) remained practically unchanged from December 2012 to January 2013. The oil price rose during the period, but prices of other important energy goods decreased.
| Per cent | Index | Weights1 | ||
|---|---|---|---|---|
| January 2013 / December 2012 | January 2013 / January 2012 | January 2013 | ||
| 1The weights are updated annually, and are valid for the entire year. | ||||
| Industrial Classification | ||||
| Extraction, mining, manufacturing and electricity | 0.0 | -2.4 | 243.6 | 1 000.0 |
| Extraction and related services | 0.3 | -4.5 | 375.3 | 482.3 |
| Mining and quarrying | 0.8 | 7.8 | 165.9 | 9.6 |
| Manufacturing | -0.1 | -1.2 | 155.1 | 466.1 |
| Food, beverages and tobacco | 0.4 | 1.3 | 144.7 | 94.6 |
| Refined petroleum, chemicals, pharmaceuticals | -1.0 | -3.6 | 212.6 | 136.5 |
| Basic metals | 0.7 | -4.2 | 162.7 | 41.3 |
| Machinery and equipment | 0.1 | 0.5 | 146.9 | 47.9 |
| Electricity, gas and steam | -2.2 | 3.6 | 266.4 | 42.0 |
The PPI increased only marginally from 243.5 in December 2012 to 243.6 in January 2013. Prices within extraction of oil and natural gas rose by 0.7 per cent due to an increase in the price of oil, as prices of natural gas decreased during the same period. Prices of mining support service activities decreased by 1.4 per cent and electricity prices declined 2.2 per cent during the same period.
Prices within manufacturing decreased 0.1 per cent from December to January due to 1.6 per cent lower prices of refined petroleum products. However, several manufacturing industries experienced price growth during the same period. Basic metal prices rose by 0.7 per cent, mainly due to higher export prices of non-ferrous metals. Prices of repair and installation of machinery rose 0.8 per cent from December last year to January this year. This is the first month prices within this industry have been included in the PPI. For more information, see the box below.
Twelve month change: manufacturing prices down 1.2 per cent
The PPI decreased 2.4 per cent from January 2012 to January 2013. A price fall of 4.5 per cent in extraction and related services was an important reason behind the decrease in the total PPI. Prices of oil, natural gas and mining support service activities all fell during this period.
Manufacturing prices declined 1.2 per cent from January 2012 to January 2013. Lower prices of refined petroleum products and basic metals were important reasons for this. The main reason behind the decline in basic metal prices was a fall of 5 per cent in prices of non-ferrous metals. Prices of paper and paper products experienced a rather sharp fall of almost 9 per cent during this period.
From January 2012 to January 2013, electricity prices and food prices rose 3.6 and 1 per cent respectively. Food prices rose due to higher prices of food on the domestic market. Exported food, however, experienced declining prices mainly because export prices of fish fell from January 2012 to January 2013.
New industry included in PPIOpen and readClose
As of January 2013, a new industry is included in the Norwegian PPI. In accordance with regulations from Eurostat, the EU’s statistical body, prices for installation and repair of machinery and equipment are now part of index calculations. The industry is also covered by other statistics from Statistics Norway, such as the production index and the business tendency survey. The activities grouped in this industry are specialized repairs and installation of equipment in manufacturing businesses, and not, for example, installations in construction and building. See the industrial classification SIC2007 for details on the contents of the industry.
From January 2013, a separate index for repair and installation of machinery is disseminated in the PPI tables. These can be found in Statbank and in tables in the left hand window. The industry is part of the total PPI and indices for manufacturing industries and intermediate goods.
Updated weights in the indexOpen and readClose
The PPI is calculated as a weighted average of price changes. In order for the PPI to reflect Norway’s industrial structure, the weights used to compute the price indices are updated every January. The weights indicate the relative influence of different industries on the overall index, and are based on the industries' share of Norwegian output value in the previous year. Compared with 2012, the 2013 weights of most industries fell, which was due to the inclusion of the new industry repair and maintenance of machinery. The weights for the three industries fabricated metal products, non-metallic mineral products and basic metals fell from 2012 to 2013. Due to increased weights for the industries extraction of oil and natural gas and mining support service activities, the weights of extraction and related services increased from 2012 to 2013. Two manufacturing industries, refined petroleum products and textiles and wearing apparel, have higher weights in 2012 than in 2013.
The domestic market became more important compared with the export market. A possible explanation for this is that Norwegian exporters experienced greater difficulties in their markets in 2012 than producers who sold their products to the Norwegian market. In addition, the inclusion of the repair and installation of machinery may have contributed to a shift in the weights in favour of the domestic market. The input material for the PPI’s weights is made up of output values from the national accounts. All changes in the weights are due to a combination of changes in production volumes and prices.
See "Weights" or "StatBank" for more details about the weights.
Additional information
Contact
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Producer price index
E-mail: produsentpris@ssb.no
tel.: (+47) 21 09 40 00
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Elisabeth Mælum
E-mail: elisabeth.maelum@ssb.no
tel.: (+47) 97 01 28 49
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Morten Madshus
E-mail: morten.madshus@ssb.no
tel.: (+47) 40 90 26 94
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Monika Græsli Engebretsen
E-mail: monika.graesli.engebretsen@ssb.no
tel.: (+47) 40 90 23 71
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Håvard Georg Jensen
E-mail: havard.jensen@ssb.no
tel.: (+47) 40 90 26 86