Japan courier halts plans for express mail ops due to strict rules
Courier firm Sokuhai Co has abandoned plans to launch an express mail service due to tight rules put in place by the government under its plan to open the sector to private firms, the Nihon Keizai newspaper reported.
The firm’s decision will likely prompt questions about the effectiveness of the effort to open the market to the private sector, the newspaper said. Reform of the Post Office is a key policy of Prime Minister Junichiro Koizumi.
New postal legislation requires entrants into the express delivery market to meet certain conditions such as delivering mail within three hours or charging a minimum of 1,000 yen per delivery.
Sokuhai determined that it would be impossible for it to achieve the three-hour delivery time for all of Tokyo, given the possibility of heavy traffic.
“There is a possibility that the supervisory bureaucracies will tighten the rules on delayed deliveries,” president Akio Kimura said.
The courier will instead strengthen its business within Tokyo, planning as early as this autumn to start a same-day delivery service for direct mail and catalogues, charging less than large shipping firms.
Sokuhai’s decision follows Yamato Transport Co announcement last year that it will not enter the mail delivery market.
