Tag: La Poste

Brussels gets tough on postal markets

Brussels will on Tuesday attempt to prevent backsliding by EU countries over reform of domestic postal markets, warning that practical barriers to competition as well as legal monopolies need to be removed.

European Commission officials are expected to tell a high-level conference – involving two commissioners and several ministers – that countries need to be proactive about changing practices in their postal markets or risk facing infringement actions.

Unusually, the move comes only four months after the 2008 postal directive took effect, requiring most EU countries to open fully their postal markets by the end of 2010.

However, the EU internal markets commissioner has already written to eight states – including Germany, Holland and Belgium – warning that “reforms at national level must be pursued rigorously”, and Tuesday’s event reflects worries that there could be some backsliding from the directive’s aims by member states.

EU officials are concerned, in particular, that practical obstacles may be used to prevent the opening up of postal markets, even if the required legal changes are made.
Another potential restriction is the extent to which countries are demanding that competitors provide universal service, covering a country’s entire geographical area.

Slovakia, meanwhile, has already come under fire from the Commission’s competition arm over a new law which Brussels claims extends the monopoly held by Slovenska Posta to so-called ”hybrid mail” services, used by banks, insurers, utilities and the like for mass mailings.

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DPD extends Baltic market leadership with new depot

DPD is expanding capacity for its fast-growing business in the Baltic region with a new depot at the Lithuanian port of Klaipeda for international imports to be distributed in Eastern Europe and the CIS region.

In 2007, DPD increased its import volumes to the Baltic countries of Latvia, Lithuania and Estonia by 40 pct to around ten million parcels. This helped the GeoPost subsidiary to expand its CEP market share in the Baltics from 23 pct to 28 pct. In domestic shipping within the Baltic States the three companies DPD Latvija, DPD Lietuva and DPD Eesti have a market share of as much as 46 pct.

In order to cope with this volume growth, DPD opened a parcel sorting centre in the free-trade zone of the port of Klaipeda in western Lithuania in May. The depot has a total of 46 loading bays and its current capacity is 2,000 parcels an hour, which can however be expanded substantially. The centre is intended specifically to handle the rising volumes of international shipments which arrive at Klaipeda by sea and by rail from all around the world.

DPD said that it has grown strongly in the Baltic region in recent years. It has established a rapidly growing network, based on an operational infrastructure featuring three hubs, 29 depots and a fleet of 540 vehicles. Within the three countries DPD has a workforce of 750 employees backed up by self-employed transport operators. In Riga the company opened the largest sorting centre of the whole Baltic region only last year, with a sorting capacity of 6,000 parcels an hour.

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GeoPost announces sales of 3.1 billion euros in 2007

In 2007, sales of GeoPost, subsidiary of the French La Poste Group and leader in the European BtoB express delivery market, topped the euro 3-billion mark. Its 2007 sales totalled 3.171 billion euros, an increase of 6.8% compared to 2006, on a like-for-like basis and at constant exchange rate.

GeoPost consolidated its position in Europe by acquiring Seur’s Santander franchise, in Spain, and reinforced its partnership with the leading express delivery company in Turkey, Yurtiçi Kargo, by acquiring a 25%-stake in the company. In South Africa, a new joint venture with the Laser group has enabled GeoPost to move into the country’s domestic express market.

GeoPost has expanded its international brand DPD into Poland, Benelux, Russia and the Baltic States. Thanks to its subsidiaries, leaders in their respective countries, and to a first rate DPD European transport network, GeoPost is today, in terms of sales, the third leading express parcel service provider in Europe.

Agreements signed with Air France /SoDeXi and Aramex have given GeoPost access to intercontinental routes.

Hence, in terms of volume, 2007 saw GeoPost confirm its position as the second largest express company in Europe – 528 million parcels delivered, in 2007 – for 300,000 customers.

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Norway Post’s and Itella’s information logistics services combined into a new joint venture in Norway

The joint venture of Norway Post’s and Itella’s information logistics services started the 2nd of June. Competition authorities have approved the deal and the joint venture has officially started. Itella owns 51 percent and Norway Post 49 percent of Itella Information AS. Per Olov Sjøgren started as the Managing Director of the joint venture.

– By combining the experience of two strong operators in the field of information logistics we will become the leading player in Norway. Itella Information’s skills and services both in paper and electronic information flows are crucial when offering the best solutions to our Norwegian customers, says Managing Director Per Olov Sjøgren.

The aim of the joint venture is to make Itella Information AS into the leading information logistics company in Norway. Itella Information provides services for the processing, management and delivery of information flows. Norway Post’s current operations relating to information logistics are all transferred to the joint venture.

– This is the next step in the execution of Itella Information’s strategy in Europe. In May we started our operations in Poland. Itella Information operates now in nine countries, says Heikki Länsisyrjä, Senior Vice President, Itella Group.

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GLS reports positive results (NL)

General Logistics Systems B.V. (GLS), Amsterdam, reported its 2007/08 results with strong sales and volume increases and profits in line with expectations.
GLS increased its sales to 1.75 billion euros – an increase of 9.2 per cent. The number of parcels handled totalled 335 million, representing a new record. EBITA at 172 million euros was in line with expectations.
GLS invested approximately 47 million euros in capital expenditure in 2007/08. In addition to France and Romania, new hubs and depots were opened in Austria and Poland; and additional franchise depots were acquired in Italy. The integration of GLS Belgium Distribution (formerly ABX BELGIUM Distribution) into the GLS system is also progressing as planned.
In 2008/09, GLS is planning network investments totalling 94 million euros – with significant investments in Germany, Poland, the Netherlands and France. The focus will be on rolling out industrial parcel production processes throughout the network as well as implementing new solutions for the “last mile” in B2C business. Other priorities will be the expansion of the GLS national and international express product offering, and GLS will continue to pursue global partnerships such as the recent cooperation agreement with Gati Ltd. in India.
GLS is expecting the European CEP market to grow at a moderate rate of ca. 3.5 per cent. In its international business, GLS Group is planning double-digit growth rates.

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