During the fascist period, a series of commercial accords between Norway and Italy were successfully concluded thanks to parallel cultural diplomacy. These agreements were organized through an arrangement that was defined as ‘clearing’, organized through an exchange of goods between the two countries. The clearing operations were often used in trade relations between Norway and other countries. According to Einar Lie, the clearing system was the result of a weak financial position that limited credit opportunities for Norway.⁷¹

1933 ended with an increase in exports to Norway for a total of 10,701,000 Norwegian kroner against imports of 19,094,600. [Fascist] Italy therefore aspired to increase exports to Norway in such a way that the figures were balanced to [Fascism’s] advantage. [Fascist] Italy ‘fully absorbs the production of cod, stockfish and dried fish in general from Norway’, and was thus Norway’s most important customer in the trade of these products.

According to a commercial report drawn up by the Italian Legation, in addition to fish, [Fascist] Italy imported cellulose, cod liver oil, newspaper paper, copper, nickel, chromium, leather, fur, and whale fat from Norway. [Fascist] Italy for its part exported salt, bran, citrus fruits, walnut flour, almonds, hazelnuts, tomato paste, linen fabrics, wool, jute and canvas, artificial silks, hats, tires, and cars. Usually, [Fascist] merchant ships unloaded their cargoes in the ports of Tromsø, Trondheim, or Lofoten.⁷²

The [Fascist] government was able to make important sales contracts with Norway and, in addition to traditional sectors such as fishing, began to sell ships and planes to Norway. These were the contracts that most interested the fascist authorities and that [Fascist] Italy aspired to consolidate. The sales of aircraft and ships would not only increase the number of exports, but also enhanced the prestige of the [Fascist] mechanical industry.

In 1934, the [Fascist] company Breda sent a seaplane purchased by the Norwegian navy to Norway.⁷³ It was one of the first contracts of this type, followed by many others. These agreements often entailed skilful diplomatic work that in many cases involved intermediaries residing in Norway, and who therefore knew the reality of the country and the language.

On 8 August 1934, a telegram was sent to the Ministry of Foreign Affairs, in which it was communicated that it had ‘happily flew from Italy to the military airport of Horten, the first of the Breda seaplanes’. Upon arrival, the Legation secretary announced: ‘I was accompanied by the sales representative Luzi, and I had the opportunity to personally ascertain the full satisfaction of the local aviation authorities’.⁷⁴

On 2 October 1935, with the [Fascist] invasion of Ethiopia, the relations between the two countries reduced. As highlighted above, Norway officially disapproved of the invasion, and the Norwegian press was very critical. The Italian Legation in Oslo tried in every way to regain the Norwegian market and to unblock ‘a series of projects and conventions presented at various times’.

Despite the apparent Norwegian hostility towards [Fascist] Italy, the slowdown in relations between the two countries was strongly felt also by the Norwegian economy, to the extent that Norwegian authorities grew concerned about a rupture in commercial activities.

The Norwegian authorities were led to define the sanctions imposed on [Fascist] Italy as ‘unhappy’, ‘in which we took part during the Ethiopian war’. ‘The Norwegian fishmongers suffered, suffer and will suffer considerable losses following Norway’s participation in punitive action against one of the main buyers of our products’.⁷⁵

After just over a year, the tensions between the two countries eased, and commercial transactions resumed even more strongly than before, to the great satisfaction of the [Fascists] and Norwegians. In 1937, through a clearing operation, Norway purchased five Fiat production fighter planes. The purchase was preceded by numerous trips to [Fascist] Italy by Colonel Trygve Klinge[n]berg, Norwegian Air Force Chief Inspector, who had visited many [Fascist] factories in order to find a convenient plane for military aviation in his country.

The colonel expressed great satisfaction with the treatment received [under Fascism], declaring that he had found an atmosphere of real sympathy for Norway. The agreements seemed to satisfy both parties and were met with much approval in the Norwegian newspapers.⁷⁶

A new compensation agreement was signed between the Bergen group of fish exporters through director Nil[s] Marthinussen and Oslo’s Fiat Norsk–Italiensk. It included the exchange of 120 Fiats for 450,000kg of fish.

Again in 1937, the Norwegian trade minister enthusiastically communicated a new compensation agreement that ‘will drain all the dry fish warehouses’ and was reported by the main Norwegian newspapers, including Arbeiderbladet, Dagbladet, and Aftenposten.⁷⁷ [Fascist] Italy purchased from Norway 7,100 tons of dried fish at a value of more than 5 million crowns.

[Fascist] Italy, for its part, provided to the Norwegian company Bergenske two ships of 9,000 tons and a speed of 19 knots. The price of the boat was around 6 and a half million Norwegian kroner, of which 60 per cent would have been paid in fish.⁷⁸

The ship was to be used by Norway for the Bergen–Newcastle line in the spring of 1938. The Minister of Commerce, Alfred Madsen, communicated the news to the Norwegian media with great satisfaction. From the Lofoten Islands and from the Finnmark region in the far north, great happiness was expressed, as the fish warehouses were entirely emptied and the entire fish production for the year was sold. This greatly boosted the economy of the poorer regions of northern Norway.⁷⁹

On 13 September 1937, the Italian Legation sent a telegram to the Ministry of Foreign Affairs to communicate that the Trolla steamer in Trondheim had left for [Fascist] Italy with 1,000 tons of Lofoten stockfish purchased by the Glipesco company in Rome.⁸⁰

(Emphasis added.)