A substantial pick up in demand for parcel transportation is one of the key factors behind the growth (254 words)

Published: 12/6/2001

Tikhon Evdokimov, DHL's Commercial Director in the CIS, says that the company's business in Russia is continuing to grow at a rate that exceeds its 2001 forecasts. Sales in October 2001 alone were up by 44.6% compared to October 2000, with a 36% increase in cargo traffic. The company attributes this growth primarily to parcel transportation, which increased by 53%, with document transportation up 21%. According to Evdokimov, while traditionally demand has been higher for document transportation than for parcel carriage, this has now changed dramatically, with parcel carriage growing at twice the rate of document transportation. DHL's own research finds that industrial customers are the main users of the company's courier service and that this is set to grow further. Scientific entities comprise the second largest customer category, with the financial sector the third largest, although there are some anomalies in some Russian regions, in which trading and catering companies count among the major users. Overall growth in courier services is principally centred in Moscow and its surrounding cities, St. Petersburg, Vladivostok and Nakhodka, but Evdokimov considers that there is still plenty of opportunity for growth. Aeroflot (one of DHL's partners in air transportation) endorses DHL's optimism, reporting significant growth in mail and express deliveries on both domestic and international routes for 10mo01. Volumes grew by 83% on domestic routes to 517.3 tonnes and 57.7% on international routes over the period.

Article ID: 2946