FDI in India Post ?

As on 31-08-2009 , India Post had 1,55,015 post offices , making it the largest postal network in the World

Almost 90 % of these were in rural areas , each serving 7175 persons on average , totaling 111.2  Crores Indian citizens ! Entire population of India !

Till about a few years back , India Post delivered millions of letters and a few lakh parcels every day , to citizens living in farthest corners of India

And of course , millions of rural citizens also depended upon its Money Order delivery

But then came along private Courier Companies , bent upon obsolescing India Post !

So , head-honchos of India Post asked themselves :

"  What business are we in ? "

Answer came :

"  We are NOT into business of delivering postal articles / money-orders .

    We are into a business of ' Delivery '

    Period !  "

Central Government ( the Owner ) agreed

  

Today , India Post has redefined its " Mission " as :

" To provide mail parcel , money transfer , banking , insurance and retail services with speed and reliability "

India Post web site goes on to write :

"  If your Organization is interested to use the India Post network for the sale of your products and services , India Post can help your business grow through ' Retail Post '  "

I believe RBI is on the verge of enabling India Post to become a " Payment Bank

 "

That has got established banks worried  !

And wanting to avoid establishing their own delivery networks costing billions of dollars , Amazons / e-Bays / Alibabas / FlipKarts / SnapDeals of the World , want to leverage India Post's network for ' delivering ' products

That will make them " B2C " retailing e-Com ventures, - riding piggyback on India Post !

If in doubt , consider this :

In the past 12 months , India Post's revenue , delivering parcels to end-consumers like you and me , from e-Com ventures mentioned above , has gone up by a whopping 37 %  !

CAIT ( Confederation of All India Traders ) , must have taken notice of this , " New Kid on the Block " , called India Post  !

As I wrote yesterday , competition is cropping up from most unexpected quarters  !

And if Greek Government  is open to privatizing its postal network , who knows DIPP may soon recommend FDI in India Post - to add to the Central Government kitty , may be Rs 1,00,000 Crores !

Days of Central Government protecting every kind of business / industry are over . Above all , businesses in which Government , itself operates  today 

War of International Trade ( where India's share is a meager 1.7 % of World Exports ) , cannot be won by leaning on Government crutches !

It is time, Indian business / industries learn to stand-up to the World on their own legs  !

-----------------------------------------------------------------------------------

hemen  parekh

12  July, 2015

hcp@RecruitGuru.com

B2BmessageBlaster

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