Secretary, Department of Posts, Mr BN Som told The Financial Express: "We are targeting a growth of 60 per cent in revenues over those turned in last financial year. We feel, the market is capable of offering such growth."

The department has in the recent months launched a slew of services in response to the changing market forces. "Our aim is to leverage our strengths in terms of door-to-door reach to launch services for which there is a demand in the market and which will turn in revenues for us." Last financial year, of the total revenues of Rs 2000 crore turned in by the DoP, the premium services alone clocked in Rs 225 crore.

Calling it the change-over of a reactive government department to a proactive vibrant organsation, Mr Som added that the first step was the launch of the Express Parcel service in April 1999. Among the companies looking for logistics solutions from DoP are companies like Burlingtons, India Today, Tata-McGraw Hill among others.

The Department is also trying to upgrade its infrastructure to be able to handle parcels of any size on the lines of the French or Deutsche Post. "We are targeting corporate customers for their bigger cargo business." To this extent, the department is negotiating with corporates like Bajaj, Ranbaxy, Oxford University among others for bulk movement of freight.

Expanding its existing profile, the Department of Posts also launched Greetings Post in September this year. Targeting the greeting cards market worth Rs 300-400 crore with this service, Mr Som feels that by providing greeting cards along with envelopes with embossed postage, the Department is addressing an existing and real need, which will enable the DoP to corner a sizable chunk of this market.

DataPost 2001, which was launched last week in a tie-up with Ogilvy Advertising, is targeted at the direct marketing companies which seek extensive data on the customers. "Over 60 direct marketing companies are being targeted for this service," he said.

"We are also planning to offer the post offices for retail businesses." In tandem with this, Mahanagar Telephone Nigam Limited (MTNL) which briefly experimented with courier services is reviving its contarct with DoP for the delivery of bills with effect from December 1, 2000.

Private telecom companies such as Airtel, Mobilink, Usha etc too are negotiating with Department of Posts for collection and delivery of their bills.

The department is also negotiating with ministry of external affairs for providing services for the scrutiny and despatch of the application for passports to the regional passport office. "Utilisation of the existing network for providing additional services will fetch additional revenues for the Department," said Mr Som.

Added Mr Som: "Our expense ratio can be the envy of anyone in the world, our quality is top-class yet the department suffers from the image of being a government department. We are planning to change that."