On November 11, 2024, the Argentine government, led by President Javier Milei, issued Decree 1005/2024 announcing the implementation of postal service liberalization reforms. This reform marks a significant step towards marketization in Argentina’s postal sector, effectively ending the long-standing postal monopoly. President Milei, together with Cabinet Chief Guillermo Franco and Minister of National Transformation Federico Sturzenegger, jointly signed the decree, which aims to break the government’s monopoly over the postal market, promote market competition, reduce user costs, and improve service quality.
The core of the reform includes the removal of administrative barriers in the postal service sector, the simplification of market entry procedures, and the opening up of the postal industry to private companies. This particularly applies to services such as registered mail, telegrams, and the delivery of parcels weighing up to 50 kilograms, thereby ending the state-owned postal service’s exclusive rights. Furthermore, the new policy provides greater flexibility for individual urban courier services, supporting the use of various transportation methods for efficient short-distance deliveries. The reform seeks to eliminate bureaucratic constraints, enhance the overall efficiency and competitiveness of the postal service system, while ensuring that user privacy and mail security are not compromised.
The reform has garnered widespread attention from various sectors of society. Supporters argue that market competition will incentivize operators to improve service quality, reduce costs, and ultimately benefit consumers. However, critics have expressed concerns about the potential impact of the reform on the stability of the postal system and the rights of postal workers. Notably, although Argentina’s postal service was initially included in the first wave of privatizations under the Milei administration, this reform approach focuses on deregulation rather than outright privatization. This reflects the government’s more cautious and pragmatic approach in advancing marketization while still maintaining the basic stability and public responsibility of postal services. This move signifies a moderate and practical path in the Argentine government’s broader strategy for state-owned enterprise reform.
Picture Source：Argentine Postal Service Official Website