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Amazon and Alibaba Said to Study Buying Brazilian Postal Service

By Contributing Reporter

RIO DE JANEIRO, BRAZIL – President Jair Bolsonaro’s intent to privatize the Brazilian Postal Service (Correios) is well known, and he recently dismissed the president of the state-owned company who expressed disapproval of the plan, replacing him with General Floriano Peixoto, more favorable to privatization.

Gaiola riverboat of the Brazilian postal service “Correios” on the Amazon river. (Photo Deposit)

Large companies such as Amazon and Chinese Alibaba, owner of AliExpress, are following the unfolding of this story from the outside. According to reports of various Brazilian news outlets, the two e-commerce giants are discreetly studying the possibility of buying Correios.

The interest stems from the massive logistical structure that the state-owned company has in place, with regional routes and distribution agencies.

The reports further disclose the potential for Amazon or Alibaba to join a major national bank for the purchase. Thus, the postal bank in Correios would be used by financial institutions while the international giants would handle the logistics.

There is still no forecast for the start of the privatization process.

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