Australia Post quietly jacks up prices: Here’s how much it will cost you to send a package
- Hike in parcel postage costs has taken toll
- Business sending 100 a week paying at least $1,000
- Parcel prices up by 136 per cent since 2008
Business owners have been crippled by another hefty blow after Australia Post hiked up its parcel and package delivery prices by up to 10 per cent.
Fees hikes on business mail, domestic and international parcel services were among a host of price changes recently announced by the postal operator which came into effect on July 3.
Prepaid postal satchels range from $10.90 for a small one, which has gone up by almost $1 from $9.95. The cost to send the same parcel via express post has increased from $12.95 to $14.40.
An extra large prepaid postal satchel will set you back $22.95, which increases to $30.45 if sending via express post.
Sending a package 5kg or under using flat rate or your own packaging has also gone up, starting from $10.60 for a small parcel.
A business sending out 100 small parcels a week is now spending at least $95 more on postage as the cost surged over $1,000.
Parcel prices have gone up by 136 per cent in the last 15 years, according to former Supply Chain & Logistics Association of Australia chairman Mark Skipper.
Australia Post has hiked up its charges on prepaid postal satchels (pictured) which now start from $10.90 for a small one
‘If you look at the Reserve Bank website, the inflation rate has been 38.7 per cent over the same period,’ he told 2GB‘s Ben Fordham on Tuesday.
‘So they’ve jacked up the parcel rates three-and-half time the inflation or CPI rate, which is huge.’
‘Every one of these hikes has been approved by the ACCC.’
To send a 1.5-2kg parcel overseas will now cost at least $35.05 to New Zealand, $62.35 to US/Canada, $68.75 to the UK/Europe and $87.25 to the rest of the world.
Australia Post delivered 2.7 million parcels last year, which is expected to continue rising.
The postal service’s latest Australian Online Shopping Report revealed 9.4 million Aussie households spent a total of $63.8billion shopping online in 2022.
‘Parcels growth is going up as more people do online shopping so that 10 per cent increase is an extra $199million revenue for them [Australia Post],’ Mr Skipper said.
‘Look at their annual report, they paid $697m to the federal government last year in dividends and other charges.’
Fordham also slammed the parcel price hike.
Former Supply Chain & Logistics Association of Australia chairman Mark Skipper says the new Australia Post charges on parcels will take a toll on struggling businesses
‘You think about those business who have been encouraged to go online,’ he said.
‘It’s going to cost a lot more to send those goods. It’s a very expensive exercise.’
Australia Post has cited soaring costs and ballooning group losses as the main reasons for the price hike.
It was among a host of Australia Post price changes which came into effect last week.
‘As a self-funded business enterprise, these changes are necessary to help meet growing costs which outweigh the current price of our products and services,’ the postal service states on its website.
Daily Mail Australia has contacted Australia Post for further comment.
Australia Post recently announced a range of price hikes which came into effect July 3
