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Wednesday, April 24, 2013


New services push postal dept revenue

ALLAHABAD: While postal department is pushing for modernisation of its services, its revenue has also increased. Allahabad postal region earned revenue of more than one billion rupees in the last financial year. Other than transmission of letters and selling postage stamps, the department also provides services like banking, insurance and other financial services.

Director, postal services of Allahabad region, Krishna Kumar Yadav said the department has increased its revenue in various sectors and compared to rupees one billion seven crore of financial year 2011-12 Allahabad Region has earned a revenue of rupees one billion eighteen crore thirty two lakh during financial year 2012-13, which is 10% more than the last financial year. 

Out of this, postal operations account for Rs 41 crore and banking services accounts for Rs 77.92 crore, while in the last financial year their share was Rs 39.54 crore and Rs 68.05 crore respectively. Yadav said after implementation of core banking and other modernisation initiatives, the department will generate more revenue.

Yadav added that Allahabad Region has also performed well in the field of postal life insurance. Total business of life insurance amounts to rupees one billion eighty three crore, out of which Postal Life Insurance accounts for Rs 84 crore and Rural Postal Life Insurance for Rs 89 crore.

He said that other than traditional services, premium services like speed post, express parcel post, business post have also received good response from public. Against the allotted target of Rs 18 crore for these services, Allahabad Region has achieved revenue of Rs 23.54 crore. The online 'Track and Trace' facility of speed post has increased the popularity of this service. Yadav said monitoring of postal services are being ensured at each level for better service delivery. Under 'Mail Network Optimization Project', main emphasis is on timely and fast delivery of postal articles.

source: Times of India

If this is the situation while modernization succeeds in the department, what is the need to go for privatization / corporation ?