Govt to transform India Post into logistics firm, eyes 60% revenue increase

The government is looking to transform India Post into a logistics company and increase the revenue of the department by 50-60 per cent in the next 3-4 years, Union Telecom Minister Jyotiraditya Scindia said on Wednesday.

Speaking at a Public Affairs Forum of India event in the national capital, the minister said about 25,000 villages in the country that do not have mobile networks will be connected by next year.

"Postal department is moving leaps and bounds. Today, our turnover is close to about Rs 12,000 crore per annum. I'm looking at possibly trying to increase that by 50-60 per cent over the next 3-4 years," Scindia said.

 

The postal department has the potential to take services to the doorsteps of people in rural and remote areas, he said, adding that he will be looking at all potential services to increase the revenue of India Post.

"We need to transform ourselves from just a mail business and a letter business. We need to transform ourselves into a logistics company. We have got to look at route optimisation, multiple sources to be able to transport our services," Scindia said.

On development in the Northeast, the minister said the government is spending a large amount in building huge infrastructure in the region, including investment of Rs 48,000 on road network.

He said 6,000 villages in the Northeast and 25,000 of them across the country still do not have mobile towers.

"Through USO Fund we are trying to set up mobile networks in all the 25,000 villages by the middle of next year... after that there be not a single village left in the country without mobile connectivity," Scindia added.