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Kenya: Posta’s venture in clearing and forwarding space bears fruit

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 In the last financial year, Posta Kenya recorded an improved annual turnover of Sh4.1 billion despite the challenges experienced in the industry mainly brought about by emerging technologies

Convinced of the need to diversify its services owing to emerging technologies, Postal Corporation of Kenya (Posta) was keen to venture into clearing and forwarding business to boost its revenues. The result of that business undertaking is now beginning to take shape.

During an interview with Financial Fortune, Postmaster General and Chief executive Officer of Posta Kenya Mr. Dan Kagwe revealed that the bold move is already bearing fruit and is expected to go a long way in sustaining the company’s workforce.

“Clearing and forwarding is not a cost to implement, it is just manpower that we need and we have the manpower. We have 3,000 employees and instead of thinking of redundancy or retrenchments we want to create work for our staff,” he said, adding that the company is currently clearing for National Oil Corporation of Kenya, Central Bank of Kenya (CBK) and individuals, mostly car importers, with plans afoot to clear for more firms.

Mr. Kagwe was speaking when he flagged off of a fleet of new motor vehicles for mail and courier services in Nairobi. The new fleet includes 11 Isuzu DMAX TRF 86 worth Sh39million, which was also witnessed by Fatuma Hirsi, Principal Secretary, and State Department for Broadcasting and Telecommunications.

Besides clearing and forwarding business, Posta Kenya is also exploring a potential global partnership deal on e-commerce with a global partner to help local traders and retailers to import goods into the country through its platform to improve its logistical services.

“This partnership we hope will help local traders and retailers import into the country through our platform and benefit from the last mile delivery logistical services. In addition, we are leveraging on technology to provide value added services such as track and trace of the shipment thus offering the local customer end to end visibility which is geared towards building trust,” said Kagwe in an interview.

The firm is also in the process of setting up hubs and convenient and strategic locations for temporary storage of consignments before collection by the customer – while at the same time working towards reducing time between placing an order, shipment and delivery for online shopping.

Also under its belt, the Corporation also has innovative services, including Tunza Nyumba na Posta- Linking retailers and consumers of basic household commodities through e-commerce which is a value add to our EMS service, EMS2GO- is an android mobile application fully loaded with all of postal services and products as a new focal point for engaging with its customers. The service will engage over 25,000 motor bike riders, when it is fully operational.

Postal Digital Parcel locker – the latest innovations for e-fulfillment, adding value to the traditional parcel delivery methods. Mpost- an innovative product that enables any mobile phone user to use his/her phone to receive letters. It allows you to make your mobile number to be a formal postal address.

Posta Mobile Wallet- development is ongoing for integration of postal products to a payment platform centered on convenience and relevance in digital space. E-njiwa-provides for registration of virtual rental boxes running Serially over & above the installed physical capacity for continuation of Posta’s Rental Box Addresses besides creation of e-Stamps (based on QR Code Technology) and Global partnership on e-commerce.

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