The South African Post Office (SAPO) and the Independent Communications Authority of South Africa (ICASA) are working together to prevent courier companies from shipping parcels weighing less than one kilogram.
The SAPO, PostNet, and the South African Express Parcel Association are due to go to court later this year for the delivering of parcels weighing 1kg or less.
According to SAPO, it is the only agency authorized under the Postal Services Act to courier these parcels. Is it possible that other companies that deliver those goods are violating the law as well?
They went on to say that this would extend to all other delivery agencies, including DHL and FedEx. Since the Post Office said, it has been the only company allowed to courier certain goods regularly.
Limiting who can manage smaller shipments would have a detrimental effect on the local logistics market. However, this may have a negative impact on the burgeoning e-commerce market, which flourished immensely during the lockdown.
This basically means that Superbalist will be unable to deliver your sneakers, and your mobile network service providers will be unable to courier your phone. Unless, of course, they all use the famous untrustworthy Post Office.
Lebohang Moiloa, the owner of Lebo M couriers, claims that this restriction will negatively impact her company since most of her customer’s courier parcels weigh less than one kilogram.
According to Valerie Sukude, owner of Izibuko Eyewear, the proposed amendments would devastate many e-commerce entrepreneurs. Many of these entrepreneurs were hit hard by the Covid-19 pandemic’s mass layoffs.
Many entrepreneurs depend heavily on private courier companies because they filled a void left by SAPO’s diminishing operation.
‘If they are to reclaim their market share, they must first win it back by resolving internal challenges and out-competing the competition.’ ‘Not by monopolizing the transportation market,’ Sukude claims.