XN000022-1981-06-17 — Page 2

WEDNESDAY, JUNE 17, 1981

NEW POSTAL RATES FROM JULY

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AN ADDITIONAL $30 MILLION WILL HAVE TO BE PAID BY THE POST OFFICE TO OTHER COUNTRIES FOR HANDLING ITS OVERSEAS LETTER MAIL THIS YEAR.

THIS IS DUE TO A RESOLUTION PASSED BY THE UNIVERSAL POSTAL UNION CONGRESS (UPU) IN RIO DE JANE IRO IN 1979 INCREASING THE SO-CALLED +IMBALANCE CHARGE+ FROM THE EQUIVALENT OF HK$3.3 TO $12.10 PER KG A STAGGERING 267 PER CENT.

BEFORE 1969 NO COUNTRY CHARGED ANY OTHER FOR HANDLING INTERNATIONAL LETTERS AND PRINTED PAPERS. IT WAS THEN THAT THE UPU DECIDED TO INTRODUCE IMBALANCE CHARGES TO COMPENSATE THOSE COUNTRIES - MOSTLY IN THE THIRD WORLD - WHO IMPORTED MORE MAIL THAN THEY EXPORTED.

IT

IN TERMS OF WEIGHT, HONG KONG EXPORTS MORE THAN TWICE AS MUCH AS SURFACE LETTER MAIL AS IT IMPORTS. IN 1980-81, FOR EXAMPLE, EXPORTED 6 700 000 KILOGRAMS AND IMPORTED 3 300 000 KILOGRAMS. LAST YEAR, THE POST OFFICE HAD TO PAY IMBALANCE CHARGES AMOUNTING TO OVER $11 MILLION. THIS YEAR IT WILL COST $41 MILLION.

THE INCREASE IS DESCRIBED AS +PUNITIVE+ BY MR A.C. HEATHCOTE, THE POSTMASTER GENERAL, AND HE ADDED THAT THE EXTRA COST WILL HAVE TO BE PASSED ON TO CUSTOMERS IN THE FORM OF HIGHER POSTAGE RATES FOR OVERSEAS LETTERS AND PRINTED PAPERS+.

IN ADDITION TO INCREASES IN THE IMBALANCE CHARGES+ FOR LETTER MAIL, MOST OVERSEAS COUNTRIES HAVE ALSO RAISED THEIR CHARGES FOR DELIVERING PARCELS RECEIVED FROM OTHER COUNTRIES SUCH AS HONG KONG AND THIS IN TURN WILL LEAD TO INCREASES IN THE POSTAGE RATES FOR PARCELS. THE INCREASES IN AIR PARCEL POSTAGE RATES WILL BE PARTICULARLY SHARP BECAUSE THE UNIVERSAL POSTAL UNION AGREED TO INCREASE BY 74 PER CENT THE PAYMENT TO AIRLINES FOR CARRYING AIR PARCELS. THE CONVEYANCE RATES HAD REMAINED UNCHANGED SINCE 1959.

HOWEVER, THE POSTMASTER GENERAL DID HAVE SOME GOOD NEWS. THERE WILL BE NO INCREASES IN LOCAL POSTAGE RATES, EXCEPT FOR PARCELS, AND THE REDUCTION IN THE NUMBER OF AIR MAIL ZONES FROM FOUR TO TWO WILL RESULT IN CHEAPER AIR MAIL LETTER RATES TO NORTH AND SOUTH AMERICA.

THE CHANGES IN POSTAGE RATES WILL COME INTO EFFECT ON JULY 1, 1961. ON THE SAME DATE, THE CHARGES FOR CERTAIN OTHER POSTAL SERVICES, SUCH AS THE REGISTRATION SERVICE AND THE POST OFFICE PRIVATE BOX AND PRIVATE BAG SERVICES, WILL ALSO BE REVISED TO TAKE ACCOUNT OF PRESENT-DAY COSTS.

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