Tag: Mail Services

Royal Mail eyes return to rail for bulk traffic

The UK’s Royal Mail wants to use rail for long-distance bulk mail, but believes the sector cannot provide the consistency needed for time-sensitive shipments.
The decision in June to move time-sensitive mail to road under a new hub-and-spoke system by the spring, saving GPB90m (EUR127.8m), was a “complete no-brainer”, Royal Mail chairman Allan Leighton told a government transport committee inquiry. Quality of service, cost and, most importantly, consistency were all behind the decision, he said. Paul Bateson, Royal Mail’s director of logistics, accepted the fact that infrastructure provider Network Rail gave high priority to mail trains, but he said when there was a problem, rail could not recover quickly enough.

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Consolidation DP's top priority in Europe

Deutsche Post is looking at acquisitions in Asia, but has no plans to buy more companies in Europe or the US as it enters a phase of consolidation. Asked what funds were still available for acquisitions, chairman Klaus Zumwinkel told IFW: “We don’t really think in terms of how much we have available. We have enough financial capacity to make small, medium or even big acquisitions. But our priority for the forseeable future is not acquisitions, but to integrate and streamline the operations we have. It is here we are spending money, such as the EUR150m we are spending integrating and upgrading activities in the Benelux region. Our main priority in the US is to integrate Airborne with DHL.” He estimated DP would spend between EUR1.5bn and EUR3bn over the next three years on integrating and upgrading operations and processes.

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Ceska Posta starting to feel the heat of competition

With the liberalization of the postal services market and companies struggling to cut costs by using the Internet more than traditional post, the monopoly era of the domestic mail delivery company Ceska Posta will be over within a few years, Aad Weening, the secretary general of the European Mail Order and Distance Selling Trade Association (EMOTA), told PBJ last week. Already facing serious competition on delivery of parcels and express mail, Ceska Posta now has a monopoly for delivery of light mail, not heavier than 350 grams. But following a decision of the Cabinet in September, the monopoly on light mail will be restricted to letters weighing up to 100 grams as of May 2004. The decision is aimed at liberalizing the Czech postal market in line with European Union requirements.

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South African postal services amendment bill for NCOP

The Postal Services Amendment Bill will be tabled for discussion in the National Council of Provinces on Wednesday 22 October. The controversial draft legislation effectively gives the SA Post Office a monopoly on handling parcels weighing less than one kilogram, leading to criticism it will put courier companies out of business. However, in a statement on Monday 19 October, the Department of Communications denied this, saying services had to provided irrespective of geographic location.

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Rail freight still in frame for UK mail delivery

Royal Mail chairman Alan Leighton has hinted at a continuing role for rail freight in British letter distribution.

Mr Leighton told a committee of MPs Royal Mail was still talking with six ‘operators’ about retaining a rail freight option.

‘We are not playing games,’ he said. ‘We are in these discussions because we may be able to find a solution.’

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