Parcel companies are going through a good time after almost seven years of stagnation, says the Ecuadorian Association of Express Messaging and Courier Companies (Asemec). The union affirms that two factors combined for the activity to recover in the last year.
The first is the high demand from customers who prefer shopping from home. Edith Villavicencio, president of the union, explains that the boom in electronic commerce in the country, which has been felt since mid-2020, has driven the movement in parcel companies since that year.
In fact, the nationwide e-commerce segment took off in 2020. At the end of last year, it was estimated to exceed $2.5 billion in sales.
The second factor is the removal of the $42 fee for import packages that were brought via the 4×4 system through companies of courier. The measure, which entered into force in June 2021, applies to packages whose weight is less than or equal to four kilograms and its FOB value is less than or equal to $400, or its equivalent in another currency, as long as it is non-commercial merchandise.
“With the elimination of the rate and the upward trend in electronic commerce, the perfect mix was created for the sector to continue on that growth path that it has been experiencing since mid-2020,” says Villavicencio.
‘Couriers’ estimate that importing under 4×4 will cost between 15% and 60% less due to elimination of the $42 fee
Thus, according to information from the central bank of Ecuador (ECB), the item increased by 46% from January to November 2021 compared to the same period in 2020 and, taking into account what was achieved in 2017, it is an increase of 78%.
International postal traffic and express mail import figures maintained their average double-digit growth rate since January 2021.
| From January to November of each year | In millions of dollars |
|---|---|
| 2017 | $137.4 |
| 2018 | $146 |
| 2019 | $142 |
| 2020 | $167.2 |
| 2021 | $244 |
Since the second half of 2020, there has been an organic growth in the sector’s turnover of at least 5% only for electronic commerce, he maintains. Marcelo Arteaga, director of Laar Courier. The manager affirms that, with this upward trend and added to the elimination of the rate in mid-2021, in one or two years the billing levels of 2013 and 2014 will be reached.
“The weight of the imposition of the rate in 2014 was felt in 2015 and in the following years until the pandemic arrived and the outlook improved,” adds Arteaga.
In the company ultrabox, in 2021 a strong revival was felt. Ximena Cevallos, manager of the firm, indicates that in her specific case shipments doubled in the second half, driven by advance purchases of shoes, clothing and miscellaneous items for Black Friday and Christmas.
See the trend to keep growing. For this reason, strategies are already used to build loyalty with users and, therefore, maintain billing. For example, the company, from January 15 for Valentine’s Day, gives away discount vouchers in weight and raffles dinners through its social networks.
Among the challenges to overcome in 2022, the companies point out that there is maintaining the growth of the sector and even surpassing it, promoting formality and ensuring that cargo controls are maintained.
Aníbal Galarza, representative of Expresito Cargo, specifies that another challenge is to overcome the logistics issue. “The maximum dates for their packages to arrive are planned with clients in a scenario in which there are delays and logistics problems on a global scale.” In December and so far this year, Galarza reports that there has been a slight difficulty due to the shortage of flights and spaces, which has generated delays of two or three days maximum in the arrival of parcels.
Cevallos, from Ultrabox, says that promoting purchases and imports will allow for a better flow of flights to the country and, therefore, also spaces for export.
Mipymes began to send product samples by ‘couriers’, with a 45% discount, through the Exporting program
For his part, the owner of Laar Courier adds that it must also be ensured that couriers have very strict controls from origin. In his specific case, he points out, there are controls from origin and the packages that arrive are reviewed.
Security protocols to avoid contaminated packages
Asemec ratifies the need for all operators in the sector to have protocols, security policies and personnel trained to prevent the entry of packages with illegal objects into the country. This in the framework of the detection, on January 19 by the National Customs Service of Ecuador (Senae), of a hunting rifle camouflaged between clothes, entered the country via courier.
“We are a formal and law-abiding union. We reject any misuse that citizens may give to packages that are with the courier mechanism known as 4×4 (up to $400 and up to 4 kg); for this reason, we will also carry out a campaign on the correct use of fast messaging”, he indicates.
this guild sees with concern that the express courier modality is beginning to be used as a mechanism for the entry of weapons and ammunition. Therefore, they make their knowledge and experience available to efficiently detect packages that have illegal items.
Villavicencio explains that part of this exchange of know how It will be the delivery of protocols and best security practices, among them, having the Security Management system, which has standards, IATA regulations and certifications such as RA3 Standards, TCA, TAPA, BASC, ISO, among others.
Asemec indicates that It will hold seminars aimed at all foreign trade players to share new trends in the sector and good national and international practices led by security specialists.. (I)
Source: Eluniverso
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