Correios Raise Price of Sedex and Parcel Services by 6.34 Percent

RIO DE JANEIRO, BRAZIL – The Brazilian postal service ‘Correios‘ have made a readjustment in the prices of Sedex and PAC: the parcel services now cost 6.34 percent more, on average, for postage made by individuals.

The new tariffs are in effect since Monday, October 14th, and correspond to more than three times the accumulated inflation in the period since its last rate hike. The state-owned company says that the increase, one month before Black Friday, is not related to its privatization process.

The readjustment of 6.34 percent applies to the ‘Sedex Hoje’, ‘Sedex 10’, ‘Sedex 12’ and ‘PAC’ services provided to individuals. It does not apply to clients who already have a contract with the state-owned company.

The company does not disclose the average readjustment for each type of freight due to “business confidentiality”. It only explains that this index “is a national average, which varies according to the type of postage, origin, and destination”.

Correios readjustment triples inflation in the period

In early March, the price of Sedex and PAC had already increased. From March to September, the accumulated IPCA (National Consumer Price Index) was 1.73 percent. In other words, the Correios’ readjustment was more than three times higher than inflation in this period.

According to the Correios, the new prices are intended to “readjust the impact of costs in the provision of services”, given that it is a “competitive market”. The state-owned company does not have a monopoly on the delivery of parcels, only letters.

Freight services become more expensive just before Black Friday in November, when there is usually an increase in the sale of products over the Internet.

Since August, the Correios have been on the list of state-owned companies to be privatized by the government. The company has been included in the PPI (Investment Partnership Program) to carry out the necessary studies. It claims the readjustment in prices “is unrelated to the inclusion in the National Privatization Program (PND)”.

Source: G1, Veja