Courier Operators seek investment in N100 Nigerian billion postal industry
Operators in the courier and express parcel sub sector of the economy said they were ready to invest in the nation’s postal service industry.
The operators who are under the umbrellas of Nigeria Air Couriers Association (NIACA) and Association of Nigeria Courier Operators (ANCO), also flayed NIPOST’s monopoly of the industry and urged the Federal Government to liberalise the industry next year.
“The estimated size of the postal market in Nigeria is about N100 billion. NIPOST capacity is only 4 per cent of the market. The performance of NIPOST is below expectation considering the fact that the country accounts for a paltry 0.4 per cent of the average postal volume per person per annum.
“NIPOST generated revenue of N3.3 billion and reported a loss of N2.4 billion in 2004,” said former Managing Director, Fedex Red Star Express, Mr. Isaac Orolugbagbe.
According to him, liberalisation of the industry which today is regulated by the Nigerian Postal Service (NIPOST),will help government to improve postal services and eliminate the financial burden of providing subsidy to the NIPOST.
He noted that government’s desire towards finding a new business model for the provision of postal services to the citizens was in line with the global trend in postal services.
1 US Dollar (USD) = 116.042 Nigerian Naira (NGN)
