Calls by two federal states for the letter mail market to be opened up early put nationwide provision of postal services at risk
Gradual, harmonized market liberalization throughout the EU is indispensable.Bonn, 12/13/2004, 10:30 AM CET
Deutsche Post soundly rejects the calls made by the German federal states of Hesse and Lower Saxony today, Monday, for the exclusive letter mail license to be relaxed early. The oft-repeated claims that the current legal situation is hindering competition and is putting customers at a disadvantage do not reflect reality and are pure demagoguery.
For years now, license holders in Germany have been able to extend their operations even into the area that is reserved for Deutsche Post. The German letter mail market is one of the most liberalized postal markets in the EU. Germany also has a head start on most other countries as regards concrete specifications in respect of full market liberalization as from January 1st, 2008. In all the EU Member States, the revenue generated from the exclusive license is needed to finance those parts of the provision of nationwide postal services that do not cover costs. The fact that, against this backdrop, it is precisely the representatives of two federal states included in the provision of nationwide service who are calling for this funding to be abolished early is incomprehensible.
If market liberalization were to be brought forward, this would put both Deutsche Post and its competitors at a disadvantage, for in this case foreign postal companies would have free access to the German market without having to face competition in their respective domestic markets. Deutsche Post calls for harmonized liberalization throughout Europe which would not place Germany as a location for business and industry at a disadvantage.