You are ruining the Swedish market!

By: Thomas Ström 4/4/16

Why should unprofitable transports be financed with tax money?

 

The price development of transports from Sweden to the continent are largely the same today as it was in the late 90s.
For example – it is cheaper to send a trailer from central Sweden to Munich than it is to buy a transport from Hamburg to Bavaria.

There are numerous factors for this, but one of the main reasons is that state-owned companies like Bring, PostNord, DHL, Schenker and others are undercutting prices in an already highly competitive market.

Is it really reasonable to finance unprofitable transports by tax revenues?
Is it really reasonable that state companies should take market shares with the help of a pricing they know from the start will mean losses for the business?
Obviously, entering new markets at whatever costs is no big deal.

In my world, this is completely insane. What happens the day the Swedish government and parliament decides that tax money should not be used to cover the losses of transport? Will there even be any Swedish private companies left then?
My firm opinion is to immediately stop this madness.
State companies should engage in social functions and social structure – not compete with the private industry.


Picture: Pixabay