Japan Post changes to make it big rival to private delivery companies
Japan Post will soon introduce changes to its package delivery services which will make it a tough, new rival to private parcel delivery companies like Yamato Transport Co Ltd, the Yomiuri Shimbun reported.
The mass circulation Japanese daily said Japan Post will begin in October delivering gulf clubs, skis, suitcases and other items which it previously has not accepted.
Currently the national postal system will not accept parcels that weigh more than 30 kg and whose combined width, height and depth exceeds 1.7 meters.
The report said Japan Post is also eyeing cutting its ‘Yu-Pack’ delivery rates to less than the amount charged by Yamato Transport, the nation’s largest door-to-door parcel delivery company, for similarly-sized packages.
The report noted, however, that the proposed changes might provoke criticism that a government body is unfairly invading an area of business now controlled by private-sector companies.
News of the proposed changes comes just two days after Lawson Inc, Japan’s second-largest convenience store chain, announced its 7,850 outlets will stop accepting packages for delivery by Yamato Transport.
Instead, Lawson said its stores will begin accepting packages for delivery by Japan Post, which is to be privatised in stages starting in 2007.
Yamato Transport holds a 40 pct share of the parcel delivery business in Japan, and the severing of its business tie-up with Lawson could handicap the company in competing with Japan Post, which has 25,000 post offices around the country where customers also can drop off packages for delivery to any location throughout the country.
