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Production in industry (sts_ind_prod)

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National Reference Metadata in Euro SDMX Metadata Structure (ESMS)

Compiling agency: Statistics Norway

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Name of indicator/ source: Index of industrial production (IIP). The index of industrial production refers to the overall production within extraction of crude oil and natural gas, manufacturing, mining and quarrying, and electricity, gas and steam supply.

7 August 2025

List and definition of variables: Monthly production output in quantity within the Divisions 05-17 (excluding Group 09.1 and Division 13-15), Division 19-24, Groups 27.3, 27.5, Division 31, 32 (excluding Group 32.5) and 35. Hours worked for full time workers are used for Group 09.1, Divisions 13-15, Division 18, 25-27 (excluding Groups 27.3, 27.5), 28-30, Group 32.5 and Division 33. The total number of employed persons, including both full time and part time employees is also collected. Numbers of hours worked for contracted workers are collected from 2011. Numbers of hours worked from the officials are collected from 2014. As of 2015 these are included in the reporting and the calculations. In addition, the monthly turnover is also collected. The index aims to follow the monthly changes in the volume of industrial production.

There are no planned changes in information collected.

The production data covers the reference calendar month.

The reporting unit is Local Kind of Activity Unit (LKAU) or the Enterprise.

The observation unit is mainly Local Kind of Activity Unit (LKAU), and in some cases the Enterprise.

The population covers all establishments in mining and quarrying (SIC 05, SIC 07-08, SIC 09.9), oil and gas extraction (SIC 06, 09.1), manufacturing (SIC 10-33) and electricity and gas supply (SIC 35).

The population frame is defined by all active LKAUs in The Central Register of Establishments and Enterprises. The total number of LKAUs in 2018 was about 19600.

The geographical area covered is national level only: Norway including Svalbard and the Norwegian continental shelf.

The reference period of this report is month.

  • sampling errors:"negligible"
  • coverage errors:" negligible"
  • non-response:"small"
  • measurement errors: "small"
  • data processing errors: "negligible" 
  • modelling errors:"small"- For some months it may be difficult to adjust for all the impacts from movable public holidays.

Index.

Long-term indices: The ratio of the production volume for a given month compared with the production volume in the base year.

This will show the growth or drop in the production volume in a given month since the base year.

Critical units and non-response:

The critical units are contacted to reduce the unit non-response. The non-responses (both partial and unit) are imputed by values based on the observed/imputed values for the previous months for the same unit and the month on month changes and year on year changes within the relevant sector. No grossing is done - the complete or imputed sample is used for compiling the index.

First stage of index compilation:

Estimated production values in fixed prices are calculated for the observation units. For the first stage, the indices at group or processing level are estimated by summing up these production values. The values of the reference period are then set in relation to the value of period t-1. The values of period t-1 are estimated average production values from the previous year. This provides the short-term index for the current month.

where

Qm = short term index of production value in fixed prices for month m

p0 = price in the previous year

qm = quantity in reference period

q0 = average monthly quantity in the previous year

 

The prices in the calculation of the short-term index are derived from statistics of external trade in goods, indicies of volume and price as well as the producer price index of oil and gas, manufacturing, mining and electricity in Norway. Some prices are also collected directly from the relevant enterprises in Norway, if not available in the statistics stated above. The prices are updated yearly.

Production is measured using two types of indicators - reflecting (more or less) the change in gross production/turnover. The indicators are physical output and hours worked. The production is measured by physical output in the following industries (SIC 2007: 05-08, 10-12, 16-17, 19-24, 27.3, 27.5, 31, 32 (ex. 32.5) and 35)). The calculations follow a set of identical observation units over a period of 2 years and an activity classification (SIC 2007). No adjustments are made for quality changes in the relevant products over time.

The production is measured by hours worked in the engineering industries (SIC 2007: 25-27 (ex. 27.3 and 27.5), 28-30, 32.5 and 33)) and in publishing and printing (SIC 2007: 18). The production is also measured by hours worked in support activities from petroleum and natural gas extraction (SIC 2007: 09.1) from 2010 and in manufacturing of textiles, wearing apparel and leather and related products (SIC 2007: 13-15) from 2011.

New projects in industries with hours worked as indicator are intercepted as they start up, as long as the project is carried out by establishments covered by the sample. It is the total number of hours carried out in the survey period that are reported, independent of which project the hours are used on.

Numbers of hours worked from contracted workers are collected from 2011. Numbers of hours worked from contracted workers are included in the calculation of the index of production from 2012. Numbers of hours worked from the officials are collected from 2014. As of 2015 are these included in the reporting and the calculations.

Change in productivity from year to year is taken into account, by fixed factors, when using the work input as basic information for compiling the index. The use of this type of indicator implies that output changes proportionally with input.These factors are updated in 2017 and are based on numbers from Annual final national accounts. Value added per hour worked in basic value, annual change in volume in per cent from the last 5 years are used.

Second stage of index compilation: Index of Industrial Production at higher aggregation levels:

Production indices for the industries at the 4-digit level can be aggregated according to the hierarchical structure of NACE Rev. 1 to indices at higher levels and also to main industrial groupings (See Defenitions). The share of added value of each class in the base year is used for the calculation of the aggregates. Last available value added from structural data are forcasted to base year by numbers from quarterly national accounts. In the case of a chain index, such as the Production Volume Index, the weights are updated annually.

where

Um,k = unadjusted short-term index aggregated over the underlying sectors, month m

BAs,0 = added value at factor cost, sector s, weight-year (t-1)

Us,m,k = unadjusted short-term index of sector k and month m

 

The calculation applies a Laspeyres formula.

 

Chaining to long-term indices:

Unadjusted short-term indices will be chained to the long-term index (base 2005) at various levels. This must be done because the bases of the short-term indices and the weights change once a year, and to evaluate the results of the index calculation over time. Chaining to the long-term indices is done using the following formula:

where

Um,k = short-term index, unadjusted, month m

Um,l = long-term index, unadjusted, month m

Ut-1,l = long-term indices, unadjusted, average last year

 

There are no planned changes in the productions methods.

The survey uses production data collected by questionnaires from the units included in the sample. The sample is based on Statistics Norway’s Central register of establishments and enterprises. This applies for the following industries: NACE 05,NACE 07-08 and NACE 09.9 (Mining and Quarrying), NACE 09.1 (Support activites for petroleum extraction) and NACE 10-33 ( Manufacturing).

Monthly production figures on oil and gas extraction (NACE 06) in Norway are transmitted electronically by the Norwegian Petroleum Directorate. Production figures for electricity supply (NACE 35) are provided by El-Hub, an electronic data- hub developed and operated by Statnett AS ( the Norwegian grid operator).

The sample includes about 1,800 establishments/LKAUs (2018), which includes all establishments with 100 employees or more, or with a turnover of at least 10 per cent of the publishing level. The remaining units are drawn based on stratification and optimal allocation, proportional to the size of the unit measured by the number of employees. The sample does not include establishments with less than ten employees. In addition, the whole population within electricity, gas and steam as well as within extraction of crude petroleum and natural gas is covered. The sample is updated annually.

Strata                                                                  Proportion %

100 or more persons employed                               100

50-99   persons employed                                       50

29-49   persons employed                                       33

10-19   persons employed                                       17

Less than 10 persons employed                              None

The frequency of national dissemination is monthly.

The frequency of transmission to Eurostat is monthly.

The questionnaires are made available electronically to the units at the end of the reference month.The deadline for answering the questionnaire is normally the 15th of the following month. Establishments that fail to return the questionnaire receive a compulsory fine within a week of the deadline, whereupon a new deadline of seven days is set.

The index of industrial production is published approximately 5 weeks after the end of the reference month. The release occurs on the 5th working day each month. All aggregates and variables are released simultaneously.

The same statistical concepts are applied in the entire national territory. There are no major problems in the index of industrial production as far as comparability with countries in the EU is concerned.

The index of industrial production provides no regional data from Norway.

As from January 2009 all results will refer to Standard Industrial Classification 2007 (SIC2007). The historical series are recalculated according to this version of SIC, and results dating back to 1995 and 1990 (totals) are available in the Statbank database.

Historical series based on SIC2002 remain available in the Statbank database under Completed time series. However, as from January 2009, only series based on SIC2007 will be continued.