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Danish exports are facing a very difficult 2009.
Foto: THOMAS BORBERG

Danish exports are facing a very difficult 2009.

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Markets drop Danish goods

2009 is set to be an historically difficult year for Danish exports to core markets.

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Læs artiklen senere Gemt (klik for at fjerne) Læst

The sale of goods to Denmark's core export markets has dropped drastically over the past year and industry and the Danish Export Council are expecting 2009 to be the most difficult year ever.

Politiken has surveyed the latest export figures for Sweden, Norway, Great Britain, the United States and Germany for November 2008 and compared them with figures for November 2007.

The tendency is clear - with the exception of Germany, Danish exports to these countries have fallen dramatically from 2007 to 2008.

Three countries worst
In the case of the U.S., Great Britain and Sweden, the drop is much greater than the average drop in exports.

The drop in exports to Sweden, for example, between November 2007 and November 2008 was at 22 percent. The corresponding figure for the U.S. was a drop of 32 percent.

"The overall picture is that several of the biggest export markets have been hit by the worst possible combinaton of falling demand and exchange rates falling in relation to the Danish krone," says Denmark Export Council Chief Economist Jacob Warburg.

UK worst
The worst prospects are said to be for the United Kingdom. Exports to the U.K. have dropped 12 percent over the past year and the council expects negative British GDP in both 2009 and 2010. The Confederation of Danish Industries (DI) expects Germany, which is Denmark's largest export market, to be even harder hit than Britain.

"This in particular because the German car industry has been hit hard as a result of the crisis," says DI Chief Economist Klaus Rasmussen.

New markets
The Export Council says that countries such as Turkey, Poland, India, Egypt and Saudi Arabia are among the countries that will be least affected by the crisis and as such are markets that Danish export companies should be more interested in.

Forecasts suggest that all of these countries will experience GDP growth in coming years, despite the crisis.

Edited by Julian Isherwood

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