2e U.S. Strategic Plan for the UPU 2009-2012

February 8, 2009

U.S. Strategic Plan for the UPU from 2009 to 2012


Office of Technical Specialized Agencies, Bureau of International Organization Affairs


The document below, the "Strategic Plan for the UPU from 2009 to 2012", contains the overall goals that the U.S. Government would urge the UPU to achieve during the period covered by the decisions of the 2008 Geneva UPU Congress. This plan reflects the views of the U.S. Government stakeholder agencies in UPU issues and overall U.S. policy on international postal arrangements, as specified in the Postal Enhancement and Accountability Act of 2006:


§ To promote and encourage communications between peoples by efficient operation of international postal services and other delivery services for cultural, social and economic purposes;

§ To promote and encourage unrestricted and undistorted competition in the provision of international postal services and other international delivery services, except where provision of such services by private companies may be prohibited by law of the United States;

§ To promote and encourage a clear distinction between governmental and operational responsibilities with respect to the provision of international postal services and other international delivery services by the Government of the United States and by intergovernmental organizations of which the United States is a member; and

§ To participate in multilateral and bilateral agreements with other countries to accomplish these objectives.


The goals in this plan, which shall be adjusted periodically and are meant to reflect the needs and interests of U.S. customers and users of international postal and delivery services, are shown in order of priority.


PART I: Principles upon which U.S. priorities for the UPU are based


U.S. priorities for the UPU are based on the following guiding principles:


  • Maximum benefit, in terms of quality and price, for users of international postal and delivery services.
  • Support and encouragement for maximum undistorted competition among providers of international postal and delivery services, both public and public, where free market mechanisms apply.
  • Accessibility to affordable, high-quality universal service for international postal products, as provided by the UPU Convention.
  • Greater separation of regulatory and operational governmental responsibilities



PART II: U.S. Priorities for the UPU


First Tier Priorities: Major Strategic and Policy Issues


1. Quality of Service


a. Support the deployment and further development of the UPU Global Monitoring System.

b. Continue efforts to extend and expand pay-for-performance systems for letter post and parcels.

c. Support publication of report cards by the UPU on the performance of administrations (and delivery agents, where appropriate) in delivering inbound international letter post items and parcels to the addressee. Consider establishment of “report card review days” at the annual sessions of the Council of Administration and Postal Operations Council.

d. Develop methodologies for measuring the performance of airlines in handling and transporting dispatches of mail.

e. Seek all available means and technologies, and develop alternate methodologies if necessary, for the measurement of service performance.


2. Economic Issues


Terminal Dues

a. Support the fundamental principle of market-oriented, cost-based, country-specific terminal dues under which increases in rates are phased in over time or introduced with ample advance notification to avoid sudden and steep postage rate increases for mailers.

b. Develop a more accurate linearization methodology that produces rates that most closely reflect costs.

c. Make tangible progress in achieving inclusion of UPU member countries in the target terminal dues system by December 31, 2017.

d. Support UPU deployment of the standard cost accounting system.


Quality of Service Fund

e. Develop standard criteria for evaluating the usefulness and effectiveness of Quality of Service Fund projects to establish a link between the projects and the service performance of beneficiary administrations, such as through participation by beneficiary administrations in the Global Monitoring System.

f. Make further efforts to simplify the procedures employed for the submission and approval of project proposals.

g. Support the principles for the election of members of the Quality of Service Fund Board of Trustees that ensure both the accountability for Board members and continuity of knowledge within the Board.

WTO Alignment

h. Monitor the UPU commitment and actions to move postal administrations to the target terminal dues system.

i. Monitor WTO developments that impact the UPU terminal dues system.


3. Customs issues

a. Promote continued cooperation and dialogue between the UPU and World Customs Organization, especially regarding supply chain security and EDI transmissions between posts and customs.

b. Propose and promote specific actions by the CA and POC aimed at bringing customs clearance procedures for postal items more in line with commercial customs procedures used by private-sector delivery firms.

c. Propose concrete steps to standardize and implement EDI message exchanges between posts and customs, and assign urgency to this task in light of international security initiatives such as the WCO Framework.


Second Tier Priorities: Regulatory and Administrative Issues


4. Extra-territorial Offices of Exchange (ETOEs)

a. Support UPU policies that consider dispatches by ETOEs as commercial traffic that are subject to the same rules applied to private operators, that permit postal administrations to refuse to accept items dispatched by ETOEs under UPU documentation and that limit eligibility to use UPU documentation on outbound traffic dispatched by ETOEs.

b. Preserve the distinction between the practices of ETOEs, which are purely commercial, and the execution of universal service by national postal administrations operating in their home territories.

c. Work towards UPU adoption of technical standards for International Mail Processing Center (IMPC) codes that would clearly identify the administration responsible for the office in the code, include a representation of the physical location the office, and allow flexibility for current and future requirements.


5. UPU Strategy

a. Contribute to further refinements to the Report Cards developed by the UPU Strategic Planning Group on the achievement, by individual member countries and postal administrations, of selected key goals in the UPU Strategy.

b. Press for further development of methods, such as through annual or biennial surveys, for seeking the views of member countries on UPU strategic and budgetary priorities.

c. Seek to develop principles and methodologies for linking the priorities expressed by member countries for prioritizing and aligning the objectives in the UPU Strategy and the individual programs in the biennial UPU Program and Budget.