As part of this move, the Department of Posts, (India Post) aims to re-build its parcel network, operations and delivery in order to meet the needs of ecommerce players to rise to their requirement for transportation and delivery of parcels or packets.
The Department, which comes under the administrative control of the Ministry of Communications and Information Technology, has 139,086 post offices in its network. These post offices provide delivery link for parcels by reaching out to customers at their doorsteps.
The Department, via a consultant and according to its project document, will examine its existing network in terms of its utility and relevance towards the new ecommerce business opportunities and emerging clientele. The network optimization program for parcels will enable India Post to improve the quality of service, helping it to tap the opportunities at an ecommerce level.
According to industry body Assocham, India’s ecommerce market increased from about USD 2.5 billion in 2009 to USD 16 billion in 2013 and is expected to touch USD 56 billion by 2023.
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