Freight Forwarding in Norway - Facing the Future With Confidence

Norway's economy is highly dependent on itsaccolade!
offshore petroleum industry, centred aroundThe country has achieved this enviable situation
Stavanger and a vibrant freight services and shippingpartly because Norway has been blessed with natural
infrastructure has been established to support theresources, including oil, natural gas, fish, forestry and
continued growth of this industry. Norway has theminerals, which are particularly high in relation to the
third highest GDP per capita in the world, as well assmall size of the population. In fact, fish have been
achieving the top position in the world in 2009 for itsexported from Lofoten for over 1000 years.The
UNDP Human Development Index. So Norway is afreight services industry has developed and
successful mixed economy with a winningstrengthened over the long term to become the
combination of private sector activity and also largemodel of efficiency it is today. Meanwhile, export
state ownership in key strategic market sectors,revenues from oil and gas make up 45% of total
including offshore petroleum technology throughexports and account for 20% of GDP. So shipping
Statoil, in which the government has 62% ownership,companies and freight services have geared up to
and the fully state owned Petoro.handle the specific needs of these industries in terms
In addition to this, the government has a stake inof storage conditions and handling, as well as the
hydroelectric energy production, through Statkraft,more general freight forwarding needs of some other
aluminium manufacturing through Norsk Hydro andsectors.
the major telecommunications provider, Telenor.This abundance of natural resources and the income
Through direct oil license ownership in other non-listedthey generate for Norway has led to a situation
companies, the state has an even higher share ofwhere the hourly productivity levels as well as
ownership.average hourly wages in Norway are among the
So the government in Norway is a key player in thehighest in the world.
Norwegian economy and has encouraged andNorway has stayed outside the European Union,
supported the development of the country as afollowing referendums in 1972 and 1994, but together
leading shipping country, with a merchant fleet that iswith Liechtenstein and Iceland, it takes part through
the sixth largest in the world. It has therefore alsothe European Economic Area agreement and other
invested across the international freight sector tointer-governmental agreements between the EU
ensure that freight transport is at maximummember states. This means that Norway is
efficiency and can help drive the economy forward.integrated with the EU internal market in the main
Shipping companies are encouraged and helped toand freight transport too has benefited as a result of
streamline their operations through a governmentco-operation across borders with other European
that is proactive and supportive to the internationalcountries.
freight sector.As a result of the winning combination of factors,
Norway's high level of oil and gas exports and itssome of which are outlined here, The Norwegian
extremely robust capital reserves, which are againtrade surplus for 2008 was around 80 billion dollars,
amongst the highest in the world in per capita terms,so Norway is well cushioned against the effects of
make it likely that Norway will continue to be one ofthe global financial crisis and in fact it was the only
the wealthiest countries in the world for at least theWestern country to run a state budget surplus in
short and medium term. This bodes well for2009. Overall, it is one of the countries in the world
continued investment in the freight services sector,to be least affected by the worldwide downturn in
which in turn is good news for every shipping2008 and 2009 and unemployment in Norway is still
company and freight company that operates inrunning at under 4%.
Norway.So the freight transport sector in Norway can face
The cost of living is about 30% higher in Norwaythe future with confidence, as the economy is in
than in America and the standard of living is one ofgood shape and there is likely to be continued
the highest in the world. These are amongst thesubstantial government investment in the international
factors that led Foreign Policy Magazine in 2009 tofreight infrastructure and the industries which it
judge Norway to be the best functioning and mostserves.
stable country in the world - a quite remarkable