Government wants Japan Post on equal footing with private sector
The government will map out details for privatising state-backed Japan Post in a manner that would have the entity operate on an equal footing with the private sector, Chief Cabinet Secretary Hiroyuki Hosoda said Wednesday.
The top government spokesman also told reporters Japan Post should be given expanded discretion in conducting business after it is placed under private management.
Hosoda made the comments in connection with Tuesday’s moves by Yamato Transport Co. to halt Japan Post’s tie-up with convenience store chain operator Lawson Inc. in the parcel business.
Yamato Transport filed a lawsuit with the Tokyo District Court against Japan Post, claiming its full-fledged entry into the parcel delivery market through Lawson’s nationwide network would be “unfair” under the Antimonopoly Law as long as Japan Post receives preferential tax measures.
The government has decided to privatise the entity in a 10-year process by first splitting it into four companies in April 2007.
“We will have to map out the detailed system and draw up a bill based on the policies of Japan Post having a greater management discretion before it is privatised and conducting business on an equal footing” with the private sector, Hosoda said.
Asked about criticisms being filed by rival financial institutions against the preferential measures being accorded to Japan Post, Hosoda said the government will accelerate work to show the overall picture of how to privatise it as early as possible.
Japan Post was set up in April last year taking over the government-run postal services of mail and parcel delivery, savings and life insurance.
