Norway
Country brief
Norway is part of the Nordic and Baltic region and is the fourth largest country in Europe by area.
Norway is a sophisticated and established market, having a long and trusted trading relationship with Scotland and the UK. It has an educated and technologically advanced society looking for high quality products and services.
Key market information
Economic indicators |
|
| GDP 2017* |
£308bn |
| GDP per capita 2017* |
£58,236 |
| GDP annual growth rate 2013-2017 |
1.8% |
| GDP annual growth forecast 2018-2023 |
3.3% |
| Population |
5.3m |
| Projected population growth 2017-2050 (% change) |
23% |
| Average tariff |
3.7% |
Scotland’s exports to Norway |
|
| Scotland’s exports to Norway 2017 |
£1,015m |
| Average annual growth in Scotland’s exports to Norway 2013-2017 |
-5.9% |
| Country rank in Scotland’s exports 2017 |
6 |
Scotland's Top Export Sectors to Norway
Norway imports from the world |
|
| Norway goods and services imports 2017* |
£102bn |
| Norway average annual Import growth 2013-2017* |
2.0% |
Norway Top 15 Import Sectors
Sources: Economic indicators (World Bank, IMF World Economic Outlook), Scotland’s Exports (Export Statistics Scotland 2017), Country Imports (World Bank, UN Comtrade).
* denotes an indicator which has been converted into GB£ from US$ using the Bank of England’s average annual spot rate data. Note growth rates may vary depending on unit of currency used.
The Norwegian Economy
The Norwegian economy is dominated by the offshore oil and gas sector, which accounts for about 25% of economic activity. Crude oil, natural gas and electricity transmission account for two thirds Norway’s exports. According to current estimates, Norway has enough oil for the next 50 years, and gas for the next 100 years.
Key economic indicators are:
- The Norwegian economy has been growing moderately at 1.4% of GDP in 2018. (OECD)
- Exports as a % of Norway’s GDP were 38% in 2018. (OECD)
- Unemployment is low with the rate standing at 3.8% in 2018. (OECD)
Norway is not a member of the European Union (EU), but is a member of the European Economic Area (EEA). There are certain challenges regarding import and customs restrictions. Read the latest Overseas Business Risk report for Norway.
Norway negotiates free trade agreements with other countries through the European Free Trade Association (EFTA).
- Norway’s free trade agreements are explained by Norway’s Ministry of Trade, Industry and Fisheries
- The EEA agreement(1) is the most important agreement regulating the relationship between Norway and the EU.
- Although Norway is not a member of the EU, it has signed up to the Schengen Agreement
The Department for International Trade’s guide to doing business in Norway can be found here.
Strengths of the Norwegian market include:
Norway ranks seventh out of the 190 countries in the World Bank rankings for ease of doing business in 2018. • Vast natural resources
- Efficient business culture
- Low levels of corruption
Benefits for Scottish businesses exporting to Norway include:
- Scottish and UK brands have a positive reputation in Norway
- English widely used as business language
- High living standards
- Stable economy
- An open market
What Scotland exports to Norway
Norway is Scotland’s 6th largest export market worth just over £1 bn in 2017. This represents 3.1% of Scotland’s total International exports. (Export Statistics Scotland).
The top 5 Scottish export sectors to Norway are:
- Engineering and Advanced Manufacturing
- Financial and Business services
- Transportation and Storage
- Energy
- Food and Drink
Priority sectors in Norway for economic development include:
- Oil and Gas
- Seafood, food processing
- Shipbuilding
- Mining
- Transport equipment
- Refinery products
Sectoral Opportunities
When compared to the export performance of similar countries (Finland, Ireland and Denmark), the Norwegian market presents potential export growth opportunities in the following subsectors:
- Manufacturing of computer and optical products
- Chemical Sciences
- Food
Existing in-market support for Scottish businesses in Norway
Scottish Development International
Scottish Development International has an office based in Stavanger with additional support offered from Copenhagen, Denmark. There are 5 staff members around the Nordic region supporting trade who are focused on the consumer industries, science and technology and energy sectors.
There are currently 2 GlobalScots in Norway covering the energy sector. Norway is a priority country for expansion of the GlobalScot network.
Department for International Trade
Contact the Department for International Trade team in Norway for more information and advice on opportunities for doing business in Norway.
The Norway British Chambers of Commerce are able to offer advice and support to member businesses as well as introductions in-market.
References:
(1) https://www.norway.no/en/missions/eu/areas-of-cooperation/the-eea-agreement/