Brazilian Express services market heats up

The battle for the express delivery services of international mails in Brazil will heat up over the next months due to the increasingly demand for such service in the country. After an increase of 7% in 2002 the sector predicts 10% growth this year – with an annual income of US$120mil. Sky Postal – authorized by United State Postal Services – entered Brazil in January 2003 and spent six months developing its logistics. It currently has 100 agents and forecasts a 10% stake of the market until late 2004. The giant DHL, controlled by the German postal services and the US Fedex make 800,000 annual deliveries in Brazil. Fedex has been concentrating efforts on the international market – it loads a D-10 with 50 m tons capacity six days a week. The Brazilian Correios counterattacks reinforcing its structure. Correios delivers 125,000 mails per year.

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