Lok Sabha Question No. 3 (STARRED), answered on 2018-07-18
Subject: Revenue Earnings by India Post
Ministry: COMMUNICATIONS
Asked by: SRINIVAS KESINENI

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF POSTS

## LOK  SABHA STARRED QUESTION NO. 03 TO BE ANSWERED ON 18 th   JULY, 2018

## REVENUE EARNINGS BY INDIA POST

- *3. SHRI KESINENI SRINIVAS:

Will the Minister of COMMUNICATIONS be pleased to state:

- (a) whether India Post is increasingly earning revenues from non-traditional sectors like  e-commerce and Payments Bank and if so, the details thereof;
- (b) the  revenues  earned  by  the  Department  of  Posts  in  terms  of  percentage  from various value added services/non-traditional sectors during each of the last three years and the current year;
- (c) the future expansion plans proposed by the Government in the afore-mentioned sectors/services in the State of Andhra Pradesh; and
- (d) the number of postal payments bank accounts in the said State, post office-wise?

## ANSWER

## THE MINISTER OF STATE (IC) OF THE MINISTRY OF COMMUNICATIONS & MINISTER OF STATE IN THE MINISTRY OF RAILWAYS (SHRI MANOJ SINHA)

- (a) to (d) A statement is laid on the table of the House.

Contd………2/-

## STATEMENT  TO  BE  LAID  ON  THE  TABLE  OF  LOK  SABHA  IN  RESPECT  OF PARTS (a) TO (d) OF LOK SABHA STARRED QUESTION NO. *03 FOR 18 TH   JULY, 2018 ON 'REVENUE EARNINGS BY INDIA POST '.

(a) Yes Madam, the revenue from non-traditional sectors including e-commerce and other value-added services has shown a continuous growth over the last three years. Till  date  no  revenue  has  been  earned  by  the  Department  of  Posts  from  India  Post Payments Bank. The service-wise revenue earned by the Department during last three years is at Annexure I.

(b) The revenue from non-traditional/ value added services as a percentage of total revenue earned by the Department of Posts for the last three years is as follows :

(all figures in Rs. crore)

| Year                |   Revenue from Value Added/ Non-traditional Products |   Total Revenue of the Department | Percentage   |
|---------------------|------------------------------------------------------|-----------------------------------|--------------|
| 2015-16             |                                              3098.56 |                          12939.8  | 23.95%       |
| 2016-17             |                                              3353.6  |                          11511    | 29.13%       |
| 2017-18             |                                              3418.76 |                          12823.5  | 26.66%       |
| 2018-19 (Upto 2018) |                                               341.33 |                           1992.47 | 17.13%       |

(c) India Post provides booking and delivery services on PAN India basis for Speed Post,  Express  Parcel  and  Business  Parcel,  etc.  including  e-Commerce  articles  in  all these  segments.  The  same  facilities  for  booking  and  delivery  of  articles  including e-Commerce  articles  are  available  in  Andhra  Pradesh.  Apart  from  the  existing  four National  Sorting  Hubs,  nine  Intra  Circle  Hubs  and  twelve  parcel  hubs  which  handle e-commerce consignments, the Department of Posts has decided to set up an exclusive e-Commerce  Parcel  Processing  Centre  at  Gollapudi,  Vijaywada  in  Andhra  Pradesh. Regarding  India  Post  Payments  Bank,  the  Department  has  planned  to  open  24 branches  co-located  in  district  Headquarter  Post  Offices  and  to  link  all  10489  Post Offices of Andhra Pradesh Postal Circle in a phased manner.

(d) Presently,  none of the India Post Payments Bank branches and access points are operational in Andhra Pradesh, therefore, the number of accounts opened so far in Andhra Pradesh is NIL.

## Statement of Revenue from Traditional and Non-Traditional Products

## Non Traditional/ Value Added Services

| Details                                                                      | Financial Year 2015-16   | Financial Year 2016-17   | Financial Year 2017-18   | Financial Year 2018-19   |
|------------------------------------------------------------------------------|--------------------------|--------------------------|--------------------------|--------------------------|
| Speed Post                                                                   | 1605.77                  | 1785.25                  | 1846.62                  | 215.55                   |
| Business Post                                                                | 735.93                   | 752.52                   | 730.72                   | 47.72                    |
| Express Parcel                                                               | 58.77                    | 64.18                    | 53.92                    | 5.54                     |
| Business Parcel                                                              | 90.22                    | 94.80                    | 85.81                    | 11.75                    |
| Bill Mail Service                                                            | 99.04                    | 77.15                    | 56.07                    | 6.32                     |
| E-Post                                                                       | 2.90                     | 1.63                     | 4.78                     | 0.41                     |
| Retail Post                                                                  | 76.87                    | 67.68                    | 78.37                    | 6.86                     |
| Post Office Passport Seva Kendra (POPSK)                                     | --                       | --                       | 26.31                    | --                       |
| Aadhaar Updation                                                             | --                       | --                       | 3.91                     | --                       |
| Logistic Post                                                                | 15.52                    | 16.31                    | 15.41                    | 1.64                     |
| E-Bill Collection                                                            | 30.79                    | 26.34                    | 22.88                    | 4.66                     |
| Railway Ticket Booking                                                       | 3.38                     | 2.54                     | 2.25                     | 0.46                     |
| Postage through Franking Machines and Pre-Postage (for value added products) | 379.37                   | 465.20                   | 491.71                   | 40.42                    |
| Total (Non-Traditional Products)                                             | 3098.56                  | 3353.60                  | 3418.76                  | 341.33                   |
| Traditional Services                                                         |                          |                          |                          |                          |
| Postage through Franking Machines and Pre-Postage (traditional products)     | 451.29                   | 312.14                   | 366.16                   | 132.96                   |
| Sale of Stamps                                                               | 441.74                   | 470.78                   | 366.77                   | 34.17                    |
| Commemorative Stamps                                                         | 33.25                    | 43.30                    | 61.96                    | 7.49                     |
| My Stamps                                                                    | 2.83                     | 5.33                     | 6.21                     | 0.17                     |
| Philatelic Ancillaries                                                       | 2.91                     | 13.54                    | 38.19                    | 25.19                    |
| Postage- Other Schemes                                                       | 9.04                     | 8.50                     | 46.21                    | 42.27                    |
| Money Order & Indian Postal Order                                            | 464.84                   | 284.62                   | 228.11                   | 37.83                    |
| MGNREGA                                                                      | 425.28                   | 48.00                    | 156.90                   | 0.00                     |
| Other Activities                                                             | 446.96                   | 152.57                   | 223.98                   | 100.96                   |
| Net Receipts/ Payments to Other Postal Administration (Other Countries)      | -220.78                  | -267.22                  | -192.03                  | -95.47                   |
| Savings Bank & Cash Certificate Remuneration                                 | 7783.87                  | 7085.84                  | 8102.32                  | 1365.57                  |
| Total (Traditional Products)                                                 | 9841.23                  | 8157.40                  | 9404.78                  | 1651.14                  |
| Grand Total                                                                  | 12939.79                 | 11511.00                 | 12823.54                 | 1992.47                  |

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