National monopolies for mail delivery in the European Union will be dismantled by 2011, with postal companies free to operate to any of the EU's 27 countries in a major boost for competition in a sector that has been jealously guarded by national operators.
A group of nine new EU member states, Greece and Luxembourg will get the option of an additional two years to prepare for a full opening of the delivery of letters under 50 grams -the last category where national postal companies face no rivals -under the plan voted through by the European Parliament.
A universal public service ensuring every European gets at least one delivery and collection a day, five days a week, even after rival companies move into the market, will be guaranteed and can be subsidized by governments if it is loss-making.
Postal services in the EU handle an estimated 135 billion items per year, with an estimated turnover of US$129 billion -around one percent of the 27-nation bloc's gross domestic product.
The sector employs more than five million people. Full liberalization of the sector should lead to cheaper, more reliable and better-quality mail deliveries, according to EU officials.
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