Tag: South America

Little used and mistrusted, Mexico’s state postal system works overtime to prove itself

Carlos Rodarte sends postcards to himself from almost every place he travels. Such a hobby seems strange, except Rodarte is the head of regional operations for Mexican postal service Sepomex. He’s testing his own company’s efficiency–and trying to change the image of his long-neglected state-run employer. “What better proof,” he says, pulling dozens of postcards out of his desk. Rodarte and his colleagues have a lot to prove. The Mexican postal system handles 700 million letters a year, which sounds like a lot but adds up to just seven pieces per inhabitant. Comparisons make it clear that Mexico’s postal system is under-used by a skeptical public. Brazilians, for example, send out 8 billion mailings a year, which translates into 46 letters per inhabitant. Plus, Sepomex officials are also working in a statistics vacuum: It’s difficult to gauge to what degree Mexican mail volumes have deteriorated over the years since past administrations inflated numbers. Despite low volumes, Sepomex operates at a loss.

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Small businesses boost UPS Mexico Operations

Demand from small and medium-sized companies is helping shipping giant United Parcel Service Inc. (UPS) post double-digit sales growth in Mexico, company officials said Monday. During the first quarter, UPS’ export business sales from Mexico, the company’s biggest Latin American market, grew by 30% versus the like-2004 quarter, building on a 60% annual expansion last year. “We have positioned the product with companies that used to have their own trucks,” Luis Arriaga, head of UPS Mexico, said in an interview. UPS has also gained customers from other transport companies, he added. “The product is actually tailor-made for any type of need that you might have,” Arriaga said, listing party favors like pinatas, electronics and automotive parts as examples of recent shipments out of Mexico.

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UPS launches Trade Direct Air for Brazilian companies

Express delivery service provider UPS will launch in the second half of 2005 the Trade Direct Air (TDA), a new air cargo service with support for Brazilian companies in the United States. UPS, active in Brazil for 10 years, has invested USD7mil in the country. In more than one year the Brazilian subsidiary doubled its transportation capacity from 28 – 30 m tons 55 – 60 m tons.

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Government extends hold on Correo Argentino

President Kirchner administration has decided to extend for another year its hold in the mail service Correo Argentino, before to re-privatize it. The government ended the concession contract with Macri group and took over the management of Correo in November 2003, and is improving the company performance while seeking several alternatives that could be floating shares in the stock market, issue a tender to win an international partner, or associate with an international mail service, in this case the favorite would be the German mail service.

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Brazil looks into postal service bribery

Despite stiff government opposition, Brazil’s Congress on Wednesday opened a broad investigation of corruption in the country’s postal service. Allies of President Luiz Inacio Lula da Silva tried to block the probe, fearing it would stall Congressional votes on tax plans and other economic bills. The government has until midnight Wednesday to persuade lawmakers to withdraw their votes in favor of the probe. The investigation was sparked by revelations in the news weekly Veja that two businessmen, using a hidden camera, filmed themselves paying a 3,000 real (USD 1,240) cash bribe to Mauricio Marinho, head of the postal service’s department of contracts and administration.

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