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

The total growth in the price index of first-hand domestic sales was 0.5 per cent from July this year. The increase in the price of electricity contributed the most to this growth with an increase of 21.6 per cent. The prices of electricity increased in all parts of the country, but the largest growth was experienced in the southern part of Norway. This growth reduced the regional differences in the prices of electricity observed earlier this year. Reduced prices of petroleum and petroleum products had the opposite effect, and resulted in a total change of 0.4 per cent in the overall price index for mineral fuels, lubricants and related materials.

The prices of chemicals and related products and manufactured goods also contributed to the rise in the overall index, with a growth of 2.4 and 1.2 per cent, respectively. Within the group chemicals and related products, the price changes in inorganic chemicals and fertilizers were the most important. The 4.5 per cent increase in the prices of iron and steel were the most important in the growth of the index of manufactured goods from July to August. The iron and steel prices have experienced a continued growth from January this year, and the growth from July to August was the largest so far in 2008.

From July to August the prices of crude materials, inedible, except fuels fell by 1.6 per cent. This includes a decline in the prices of metalliferous ores and metal scrap by 4.6 per cent. The remaining product divisions are characterized by modest growth compared with July this year.

Twelve month change: Price growth of 13.5 per cent

The price index of first-hand domestic sales increased by 13.5 per cent from August 2007 to August 2008. The largest contribution came from mineral fuels, lubricants and related materials with a change of 65.5 per cent over the last year. The largest change within the latter group of products is a remarkable 228.5 per cent increase in the prices of electricity compared with August last year. The twelve month growth of chemicals and related products is still high, with an increase of 13.4 per cent. In addition, the prices of iron and steel have increased by 18.2 per cent over the last year.