Exporting to Norway
Consumer market
Norwegians are keen on British brands and products. The market is technologically and digitally advanced. Norwegians are early adopters of technology.
Business environment
Norway is the 7th best country in the world for doing business, according to the World Bank 2019 report.
Proximity
Norway is one of the UK’s closest neighbours. It can be reached in a 2-hour flight.
Ease of doing business
7
out of 190 countries (World Bank, 2019)
Currency
Norwegian krone
Business language
English is widely spoken
GDP per capita
$81,690
UK is $42,558 (IMF, 2018)
Economic growth
1.4%
(IMF, 2018)
Time zone
GMT +1
Opportunities for exporters
There is demand for UK-manufactured products and services across many sectors in Norway. This includes products and services for oil and gas, and finance. There is also demand for medical and pharmaceutical products, and a wide range of consumer goods.
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Oil and gas
The Norwegian economy is dominated by the offshore oil and gas sector. After a period of low oil prices, the sector has bounced back. There are a significant number of new field developments and renewed maintenance projects. Investment on the Norwegian continental shelf is projected to be high for the next 5 years. 250 billion krone was invested in 2019.
Planned projects
New discoveries in recent years will see some of the highest levels of investment in the subsea sector across the globe. Opportunities for UK companies exist in: field life extension, enhanced and improved oil recovery technologies, maintenance, modifications and operations, standardisation of solutions, and low carbon technologies.
No requirement for local content
Norway does not stipulate that companies must use local labour or manufacturing - sometimes called 'local content'. You may meet strong local competition but there are opportunities if you can actively pursue them and engage with the Norwegian supply chain.
Access to other oil provinces
The Norwegian oil services industry exports to all the world’s oil provinces. Suppliers to Norwegian companies can expect their products and services to be re-exported to destinations other than Norway.
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Low carbon and renewables
Hydro power is the source of most electricity production in Norway (Norwegian Government, 2016). Norway is looking for innovative solutions to help the country become carbon neutral by 2050.
Demand for low-carbon solutions from all sectors
There is a drive for continued energy efficiency across industries including transport, maritime and offshore. Opportunities include infrastructure for electric vehicles, construction products, machinery and equipment, autonomous vehicles and transport including ships and ferries, intelligent lighting and batteries.
Good early market for new technologies
As Norway continues to implement technologies and infrastructure for energy saving and emission reduction targets, there is an appetite and requirement for new solutions. The targets will only be reached through the adoption and implementation of new CO2-saving technologies.
Respect for UK innovation
There is a respect for UK innovation and engineering. Many Norwegians have studied in the UK. The UK’s excellence in science and innovation is recognised.
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Infrastructure
After many years of under-investment in roads, rail and the power sector, the Norwegian government is investing heavily in onshore infrastructure.
Planned investment
Planned projects include airport developments, rail network upgrades and new track and road construction.
Capacity constraints in Norway
The level of activity and number of projects is high. Today's existing market capacity is experiencing challenges in meeting demand.
Respect for British engineering and design
Norwegian players have expressed an interest in learning from the UK, particularly on the delivery of big flagship projects. British expertise is respected.
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Security
In the security sector Norway looks to the UK for its expertise, experience, products and services.
Demand for UK expertise
There is a demand in Norway for UK expertise and products. There are opportunities for UK companies in civil cyber security and physical security.
Growing security market
Norway has a strong focus on building and sharing knowledge and competences in the security sector. Several initiatives have been taken in recent years to strengthen Norway’s ability to detect and withstand threats, leading to increased investment in security products and services, including many from the UK.
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Food and drink
The demand for international food and drink products in Norway has grown, reflected in the ranges now available in supermarkets. The sector is covered by three retail groups and the route to market is normally through a distributor.
Demand for new food categories
There are opportunities for UK producers of health, "free-from", natural, vegetarian, vegan and plant-based food. There is also demand for innovative products as well as branded and own-label products.
Retail market structure
Norway has a relatively small population, but with the structure of the retail market, if a product is successful it can gain national coverage relatively quickly.
Doing business in Norway
Preparing to export
VAT
VAT rate (2019) in Norway is 25%. Exemptions include:
- 15% for food and drink
- 12% for certain cultural and sporting activities
- 11.1% for the supply of raw fish
- 0% for e-books
Foreign businesses operating in Norway must comply with Norwegian VAT rules and be VAT registered if sales or withdrawals liable for VAT exceed 50,000 krone over 12 months.
For more information, read about calculating taxes on Norway’s customs website.
Regulations
The Norwegian Standards Authority is responsible for standardisation, certification and assessment of product standards.
Norway has adopted the EU’s CE mark on some products sold in the EU.
The Norwegian Food Safety Authority, Mattilsynet, is responsible for regulating:
- food and water
- animals
- fish and aquaculture
- plants
- cosmetics
Direktoratet for Byggkvalitet is responsible for building regulations.
Intellectual property
As a first step, we advise you to speak to an intellectual property lawyer if you think you need patent protection when exporting.
All trademark and patent applications for Norway must be registered with Norway’s Patent Office Patentstyret.
Operating in Norway
Payment terms
These depend on the sector you are operating in and the company you are trading with. Norwegian companies are used to dealing in GBP and EUR as well as Norwegian Krone.
Next steps
DIT can advise you on doing business abroad, and help put you in touch with other people who can help such as lawyers and distributors.
