Tag: Europe

Palletways hits target

Palletways now has 27 members a week feeding freight into the international service that it launched in January.

European development manager John McCormick says the number is growing all the time. The present single-deck trunk to Nijmegen is running at capacity and he predicted that not only a second but also a third trunk will be introduced by Easter.

Palletways is considering adding a double-decker, although it willl have to meet Dutch height limits.

Growth of the service is meeting what were challenging targets, he said. “Ten to 15” members already had their own international services and use Palletways only for top-up, if at all; the other 85 members – the vast majority – had never had an international product to sell, he says.

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Dutch TNT sues UK tax department

Dutch TNT NV has filed a lawsuit against the UK tax department, TNT’s director public affairs, Nanno Aukes, said on April 5, 2006. The postal division of TNT believes it is seriously hampered in the UK postal market by the local tax authorities. The UK tax department abolished at the beginning of 2006 an earlier granted exemption from value added tax (VAT) to TNT, Aukes said. The tax exemption was granted to TNT because the company is partly operating as agent of Royal Mail in the UK. Royal Mail, which has been granted a full VAT exemption in the UK, enjoys great competition advantages as a result, Aukes added. TNT did not announce any figures relating to its revenue in the UK postal market. Revenue from postal services within Europe, excluding the Netherlands, stood at 600 mln euro (UD728.3 mln) in 2005 while the UK is considered to be a key market.

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Deutsche Post confirms domestic parcel delivery prices reduction

DHL, the express and logistics unit of Deutsche Post AG, announced that it had decided to reduce the prices for parcel delivery in Germany as of May 4, 2006, in order to achieve turnover and profit increases in long-term perspective, according to a media report from April 5, 2006. According to the report, under the new price scheme the price for the delivery of an ordinary parcel will be reduced to 3.9 euro (USD4.73) from currently 4.3 euro (USD5.2). The price for the delivery of the so called Plus parcels, including packaging and postal charges, weighing up to 20 kg, will be reduced to 5.99 euro (USD7.27) from currently 6.2 euro (USD7.53). A Deutsche Post spokesman said that the company is also examining the possibility to reduce the prices in other service sectors, but stressed that no final decision had been taken yet. The head of Deutsche Post, Klaus Zumwinkel, has already announced possible price reductions for the heavy parcels.

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An Post contract is illegal, EU court hears

The European Commission yesterday accused Ireland of illegally giving a contract worth EUR50 million a year to An Post. The contract, which provides for the payment of social welfare benefits to about 1.1 million people, is one of the main sources of revenue for the Irish postal service. At the European Court of Justice in Luxembourg yesterday, the commission alleged that the award of the contract to An Post without a tender breached the EU directive on the procedures for the award of public service contracts. Commission lawyers argued that the contract should have been advertised before being awarded. Private companies may have been in a position to offer the same type of service, they said.

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Deutsche Post says no decision yet on domestic parcel delivery price cuts

Deutsche Post has yet to make a decision on the amount by which it will cut prices for domestic parcel delivery, a company spokesman told Handelsblatt.
Separately, industry sources told the newspaper Deutsche Post will reduce delivery prices for 3 kg packages to 3.90 eur from 4.30 eur. The sources did not state when the price reductions would take effect.

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