German logistics association warns of giving too much power to DB and DP

BVL, the German association of logistics companies, has warned of the dangers of increased concentration of large state-owned companies on its market. It says that companies such as Deutsche Bahn (DB), the rail operator, and Deutsche Post (DP), the postal operator, are too prone to dividing up the market among themselves. This threatens the existence of the majority of the 9,400 companies operating in the sector.

At present, both companies are aiming to reach the top of the logistics market, and are expanding their current positions by means of mergers and acquisitions. Deutsche Bahn paid 2.5bn euros for logistics group Stinnes at the end of 2002, while Deutsche Post has been buying up express parcel delivery companies.