Tag: Asia

Indian Govt Plan to Cap Foreign Investment in Courier Cos May Hit Roadblock

The government’s plan to cap foreign investment in courier companies may hit a roadblock. The commerce ministry is opposed to the foreign direct investment (FDI) related proposal in the Indian Post Office Amendment Bill, after severe opposition from industry. Commerce and industry minister Kamal Nath, who received a letter from the Investment Commission chief Ratan Tata on this issue, has decided to oppose the Bill’s intent to impose a cap on FDI in postal services. At present, there is no such cap.
Ratan Tata has requested that any move to impose limits on FDI in the postal sector must be opposed. Tata has said that a limit on FDI will not be in tune with the spirit of reform. Nath, in turn, is said to have noted that the commerce ministry must oppose this proposal too, in a reply that is now said to be with the Investment Commission.

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Overnight cargo service

Want to send a huge consignment of dress materials, vessels or truckload of cardamom? Or want to vacate your house and send your domestic articles to your new destination? All at nominal cost. If yes, contact your nearby post office because India Post, run by the Department of Posts, has entered the express cargo segment by launching Logistics Post for delivering consignments in southern districts of Tamil Nadu.

“To make India Post a one-stop source for people to send goods and parcels at a cheap tariff, India Post has introduced `overnight cargo service’ at nominal cost from November,” said K. Balasubramanian, Director, Postal Services. He said the area of coverage of the service would be between Madurai and Nagercoil, through Virudhunagar, Sattur, Kovilpatti and Tirunelveli. Every day, the service would start at 10 p.m. in Madurai and reach Nagercoil at 4.30 a.m. and vice-versa on all days except on closed holidays, he said.

As an value-added service, India Post would offer free pick up and delivery service within a radius 20 km in Madurai, 10 km in Nagercoil and 5 km in other towns, besides free loading and unloading up to 500 kg. A postal department employee would accompany the consignment.

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"Overnight cargo service" introduced

Want to send a huge consignment of dress materials, vessels or truckload of cardamom? Or want to vacate your house and send your domestic articles to your new destination? All at nominal cost. If yes, contact your nearby post office because India Post, run by the Department of Posts, has entered the express cargo segment by launching Logistics Post for delivering consignments in southern districts of Tamil Nadu.

“To make India Post a one-stop source for people to send goods and parcels at a cheap tariff, India Post has introduced `overnight cargo service’ at nominal cost from November,” said K. Balasubramanian, Director, Postal Services. He said the area of coverage of the service would be between Madurai and Nagercoil, through Virudhunagar, Sattur, Kovilpatti and Tirunelveli. Every day, the service would start at 10 p.m. in Madurai and reach Nagercoil at 4.30 a.m. and vice-versa on all days except on closed holidays, he said.

As an value-added service, India Post would offer free pick up and delivery service within a radius 20 km in Madurai, 10 km in Nagercoil and 5 km in other towns, besides free loading and unloading up to 500 kg. A postal department employee would accompany the consignment.

To compete with other express cargo services, the department would levy 50 paise to Re.1 a kg for the service. Though the minimum chargeable weight was 50 kg, no maximum weight limit had been prescribed by the department, he said and added that they had 22 vehicles to meet the needs of overnight cargo service.

The Department of Posts would tie up with private agencies, if necessary, to meet the expectations of customers for fast, safe and reliable service, he said and added that the department had also planned to introduce insurance for the consignments with Oriental Insurance.

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71% of Japanese post offices lose money in FY '05

More than 70 pct of post offices across Japan, mainly those in sparsely populated regions, were unprofitable in fiscal 2005, Japan Post reported Friday.

At total of 14,404 post offices, or 71.2 pct of 20,223 offices nationwide, incurred losses in the fiscal year that ended last March, down by 3,750 from the previous year. The drop is the first since the disclosure of the office-by-office breakdown of business performance started in fiscal 2003.

The number of profitable post offices increased to 5,819.

The total excludes post offices whose operations are consigned to nonprofit organizations.

The latest data provide a fresh indication that Japan’s postal services are maintaining loss-making operations in less populated regions with the help of profits earned in urban areas.

Turning around the unprofitable offices will be a major challenge for the company that will inherit the management of the post office network from Japan Post in a 10-year breakup and privatization process of the government-owned corporation that begins in October 2007.

By prefecture, post offices in 12 prefectures registered profits in fiscal 2005, including Tokyo, Saitama, Kanagawa, Aichi, Osaka and Fukuoka. The remaining 35 prefectures were in the red, with the cost-to-revenue ratio exceeding 140 pct in six prefectures–Hokkaido, Iwate, Akita, Shimane, Kochi and Kagoshima.

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Modern technology for Sri Lanka's postal services

Sri Lanka Postal Department sources say that only twenty percent of the country’s 547 main post offices and 3400 smaller post offices are operating at a profit. Therefore the Department has to depend on the nearly Rs. 1.8 billion received annually from the Treasury.

The Ministry of Posts and Telecommunication is going to recruit 1507 staff for next year in order to enhance the services of the Postal Department.

The Ministry has also planned to obtain modern technology from Japan and the Philippines to uplift the standards of the postal sector. The Department intends to develop the sectors of money order transactions, mail delivery, and telegrams with the modern technology.

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