Section 6 Rapid Development of Post Business

Since 1980s, post departments had insisted on the operation policy of "making use of famous conditions, fitting for the market, operating in large-scale, fully developing" to forcefully develop traditional business, actively develop new business, make business structure reasonable, and post business was improved greatly.

A. Energetically develop traditional business

Firstly, mail business developed rapidly. Since 1980, mail business increased year by year. Comparing to that before the reform, it had vivid features: business increasing rate exceeded the increasing rate of our population, which greatly improved the level of post used by the public. Also, the formation of mail business customers changed radically. It was mainly because of the connections between administration departments, enterprises, financial and economical units, the sharp increase of exchanging documents and information materials, especially the large amount of commercial advertisement, catalogues, indent, consultant sheet, etc sent to all areas by commercial units to obtain information and promote products. During this period, science and technology, culture and education, news publishing industries developed rapidly. Large amount of newspapers and periodicals, books, teaching materials, all kinds of contest papers and votes were sent by mail. Because of the improvement of people's living standard and increase of social intercommunication, during festivals, post card business increased year by year. In 1990, mail business of the whole country reached 548,71l, increasing 93.5% comparing to that in 1978.

Secondly, parcel business developed rapidly and customer formation changed greatly. Because rural enterprises, small urban collective enterprises and microeconomic business developed rapidly, they opened up and enlarged market by delivery. Business parcels increased sharply while private parcels decreased. The number of business parcels reached one third Of the total, even reached 80% Prosperous areas along the coast. In 1990, the quantity of parcels of the whole country reached 96,900,000, increasing 31% comparing to the 74, 000,000 in 1978.

Thirdly, during this period, business of newspapers and periodicals service increased explosively, while transportation and delivery abilities of post departments were scarce, which affected the undertaking of newspaper and Periodical issue through post. Meanwhile, social newspapers and periodicals, especially those issued mainly in cities, formed the situation of self-issue, while post department was so lack of the countermeasures of actively developing newspaper and periodical issue that in the last years of 1980s, newspaper and periodical issue business was affected. But, by making use of network advantages and several decades of experience in undertaking newspaper and periodical issue, through the hard work of post workers, post actively undertook the business, improved services, promoted all kinds of contracting operation system, mobilized the enthusiasm of issue departments and retailing workers. Meanwhile, post actively developed whole-salers, enforced retailing work cooperatively by the state, collectives and individuals, which promoted the development of newspaper and periodical issue and made circulation increase greatly. In 1988, 948 newspapers were issued by post, with 140 million copies per issue, 2866 periodicals issued by post, with 135 million copies per issue. In 1990, newspapers and periodicals service was increased.

Postal savings in the ascendant

Furthermore, in 1980s, remittance business related to economic developed greatly. The number of remittance and the amount of money was increased greatly year by year.

B. Actively develop new business

(1) Actively develop postal savings. On March 10, 1986, People's Bank of China and MPT jointly issued "the announcement about opening up postal savings", and decided to formally open up postal savings in the whole country from April 4, 1986. By the end of this year, 2,794 post savings offices were set up in the whole country. 500 were set up in Shandong province. Post departments actively carried out the publicizing of postal savings to Promote business development. From July 1986, post department opened up the business of current post savings with depositing and drawing in different places in 4 cities of Beijing, Tianjin, Shanghai, and Guangzhou, which were appreciated by the public.

Since Jan. 1, 1990, postal savings were changed into self-operated by post department. People's Bank paid post departments the interests and allowance interests of the transferred deposits. Interests of savers were paid by post departments. The interest difference obtained by post departments was the business income. The change of operation style injected vitality to postal savings. Postal savings departments of all levels paid attention to operation management, enforced regulation system, set up and improved regulations, rapidly adapted to the change of business relations, which promoted the development of postal savings. By 1990, postal savings of the whole country reached 18.107 million Yuan, which ranked third after industrial and Commercial Bank and Agricultural Bank.

EMS business

(2) Open up and energetically develop EMS. With the economic development and increasing of social requirements, China Post first opened up international EMS business on July 15, 1980. On Nov. l, 1984, China Post opened up domestic EMS business. To effectively develop this business, MPT set up Express Mail Company of China Post in 1985. Post offices everywhere increased vehicles and workers, modified internal operating organization, carried out considerate services. Meanwhile, post departments of all areas made use of their own advantages to develop business range, and set up diversified services. The opening of EMS business accelerated message delivery, improved social and economic efficiency and promoted business development. By 1990, it had accomplished 34.328 billion EMS.

(3) Open up express mail and electronic mail business. To provide faster communication services, MPT opened up the new business of "express mail" in 196 middle and large cities on Nov.10, 1987 and enlarged its range on May 1, 1988. It developed rapidly and complied 29.1 billion mails by 1990. Electronic . mail had the features Of popular post communication, rapid telecommunication and accurate text facsimile and was welcomed by customers. From October to December 1985, MPT opened up electronic mail business of Guangzhou-Hongkong, Guangzhou-ShenZhen and Zhuhai, Guangzhou-Macao. Later, MPT was opened up other provinces and cities.

(4) Vigorously develop philately business

The Chairman of International Olympic
Committee visited China Exhibition
of Olympic Philately in Guangdong
and signed wrote words of appreciation

In Feb. 1978, the State Council approved to resume philately business. In June 1979, MPT decided to set up "China National Stamp Corporation" to undertake philately business and enforce the unified administration over philately. From 1980, it resumed the regulations that commemorative stamps and special stamps would be sold in post departments for Only one year, and carried out the first major modification of stamp price since the foundation of People's Republic of China. To promote the healthy development of philately business, and improve service quality, new stamps subscribing business was opened up in all areas. and philately service offices were increased and enlarged. By 1990, there were a total of 5058 philately service offices, the number of philately staff had reached 8700. Meanwhile, to coordinate important communication activities and publishing construction achievements, MPT Produced large amount of distinctive and exquisite stamps that fitted for the requirements Of stamp collectors while enterprises gained good benefit. By 1990, income of philately reached 370 million Yuan, with an increase of 25.9% Per year on averagely. Philately departments actively promote collective philately activities. In 1980, it organized the activity of selecting the best stamp. In Nov. 1983, it on organized the first "Exhibition of Philately of China" which promoted the further development of post collecting. In Jan. 1982, "China National Philately Federation" was established. In July and August of 1983, "the International Philately Federation" and "Asian Philately Federation" admitted the National Philately Union of China as a member respectively. Then China formally entered the international philately organization.

(5) Open up mail-order service. Since April 1985, mail-order companies were sat up in all areas to energetically develop mail-order services. Each mail-order company made full use of the advantages that post services were wide and broad, rapid and safe, with good reputations, to develop business and improve enterprise's economic efficiency. In 1988, mail-order income of the whole country reached over 20 million Yuan, the kinds of mail-ordered merchandise were over several tens of thousands. Service range covered all provinces, autonomous regions and cities, which became the complementation of social merchandise flow channel. Meanwhile, it paid attention to social benefit, tried hard to meet special requirements of the customers. In Sept. 1988, mail-order compares of 17 Provincial capitals held a joint conference in Tianjin to discuss how to develop business relations to set up national mail-order network, realize wide cooperation and combination, form unified mail-order system and smooth mail-order-network.

C. Energetically develop international post services

After 1979, with the deepening of opening up to the outside world, gradual expanding and developing of international trade and diversified economic cooperation, international post services developed rapidly. Taking international air mail as an example, since 1983, export increased 38.1%, averagely 7.62 per year. import increased 62.68%, averagely 12.53% per year. In Oct.1980, China and USA signed the agreement about postal parcel and international EMS services. During this period, China also enforced the cooperation and developed relations with many foreign countries.

By 1991, China had established communication relations with 126 countries and areas. Exchange offices and stations for international mails had increased to over 40. It opened up over 50 direct international airline postal routes, established EMS service relations with over 70 countries and areas. China had exported stamps to over 80 countries and regions and exchanged stamps with over 160 countries and regions. China post appeared on the international stage with a new appearance and played an active role in the promotion of international economical and cultural exchanges.