Indian price increase on the cards

The cost of premium postal services in India is set to increase. Business mailings and priority services could become more expensive as the government looks to improve the company’s deficits.

According to the Economic Times (India), the Department of Posts (DoP) “is considering a market-based pricing for many of its products that do not have a social dimension to them to reduce the government subsidy”.

“The idea is to have a sustainable costing and pricing mechanism for postal products and services, even as services are kept affordable for the common man,” the Economic Times cited a government official as saying.

Any price increase would have to be approved by parliament – with reports suggesting a new tariff will be put in place before next year’s governmental budgeting sessions

Localised social mailing services are unlikely to be affected.

More to follow…