Managing Director of Ghana Post Company Limited, Bice Osei Kuffuor has said that regulations governing their operations make it difficult to compete with private entities in the courier business.

According to him, these regulations, make it difficult for them to be responsive to the needs of prospective clients.

“For instance, at Ghana Post if I get a new contract right now and somebody wants me to bring some 100 motorbikes to do some distribution for them. To buy these 100 motorbikes, Ghana Post has to go to Public Procurement Authority (PPA), it also has to sit one a month to give you approval to even bring people to come and tender. So that whole process sometimes takes about three months, by the time you get back, your competitors have gone with that business, and so that is immediately the key challenge that we face.

Mr. Osei Kuffuor said this on The Pulse, on Tuesday.

He noted that the challenges notwithstanding, the company aims to own at least 50% of the market share of the courier business.

“Currently, in the courier business, we are behind the likes of DHL, other major courier brands, but it’s a space that we must own and so we are on a mission to own that space at least 50 percent of the market share in that area,” he stressed.

Touching on other challenges facing the company, he said, “Ghana Post is a limited liability company. What it means is that from 1994 when Ghana Post became a limited liability company government is no longer sub-venting Ghana Post. So Ghana Post works to pay itself, works to grow itself. I mean running an organization that has a staff strength of close to 2000 is not an easy task. That’s why Ghana Post has that poor financial position.”

According to the maiden edition of the State Ownership Report, SOEs and Joint Venture Companies (JVCs) reported net losses of GH¢1,375.33 million and GH¢2,341.37 million respectively in 2019.

Ghana Post Company Limited was named in the 2020 State Ownership report as one of the State-Owned Enterprises that are non-performing.

Due to the non–performance of the SOEs recorded in the 2020 State Ownership report, the Ministry of Public Enterprises has served notice that it will privatise non-performing state agencies if they fail to turn the tide.

Minister for State Enterprises, Joseph Cudjoe told Host of JoyNews’ The Pulse, Blessed Sogah on Monday, April 11, that “some SOEs will be privatized, some will be sold off”.