New battle looms on Australia Post charges

Philip Andersen, CEO of Printing Industries says the application sought to increase the basic postage rate (BPR) by 5c, from 55c to 60c, and to increase the prices of large Ordinary Letters, small Ordinary Letters, small PreSort letters and large PreSort letters.

He says, “The situation today is no different to what it was in 2009 – if it makes paper based communications more expensive to end users, a significant proportion of the print and mailing house industry which operate in very competitive market environments, will be adversely affected.”

Andersen continues, “Our industry has demonstrated time and time again that improvements in operational efficiency and productivity gains flowing from investments in new technology are possible and this should be the business philosophy that Australia Post adopts rather than opting for the quick fix of raising prices for its services.”

Printing Industries also pointed out that the print and mailing industries, which Australia Post is a part of, are daily facing increased competition from other mediums such as electronic mail and to have a business model based on constantly increasing service costs are a guaranteed way to ensure mail volumes will decrease.

Hagop Tchamkertenian, national manager for policy and government affairs at Printing Industries also commented saying that the Association would again lobby the ACCC to block the increases but needed to illustrate the likely adverse impact on the industry, including the areas of employment, production, profitability and business viability.

He called on the industry to respond by providing evidence that would support the Association’s stand.

 

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