The Visual Media Association (VMA) is seeking greater pricing stability and clearer long-term forecasting, amid a new proposal by AusPost to raise the price of basic postage stamps by 8.8 per cent from mid-2026, less than a year after its previous increase.
AusPost cites “remaining in structural decline” as the reason for the planned increase, and is also planning to increase the prices of several other reserved letter services from mid-2026, including priority labels and various business products such as PreSort and Print Post.
Speaking to Print21, Kellie Northwood, chief executive officer of the VMA, said repeated increases create cost pressure and uncertainty, and that any increase needs to be backed by a clear plan showing efficient cost recovery, clear forecasting, and a demonstrated reform program.
“Our sectors include publishers, printers, mail houses, charities and SMEs who rely on post to reach customers and communities,” Northwood continued.
“When pricing is unpredictable, it affects campaign planning, subscription models and essential communications. It also accelerates volume decline, which can create a negative feedback loop for the postal service itself.”
Northwood questions the decision to increase by 8.8 per cent despite CPI currently sitting at around 3-4 per cent, as well as AusPost signalling ongoing double digit rises for business mail, which she said was “not aligned to inflation, is sporadic, high and unjustified in the current commercial environment”.
“If pricing rises materially ahead of inflation, Australia Post must show where productivity gains are being delivered and how the business is rightsizing. Stability and predictability are just as important as the percentage itself,” Northwood tells Print21.
“Signalling future increases is not the same as presenting a comprehensive strategy. The market needs clarity on operational reform, technology investment and service standards, not just indicative price points. Long-term pricing must sit within a broader plan to secure the network.
“This pattern of pricing goes beyond normal CPI-linked adjustments and instead reflects a concerning lack of pricing discipline. This proposed increase, alongside indicative future rises in 2027 and 2028, requires careful scrutiny, particularly given Australia Post’s statutory monopoly in reserved letter services.”
Northwood added that rather than relying on repeated above-inflation price hikes, Australia Post must focus on right-sizing its business and investing in technology and operational efficiency to remain sustainable in a modern economy.
“Australia’s print, publishing and mail sectors rely on a stable and affordable postal framework. If Australians are being asked to pay more, there must be clear evidence of operational discipline, efficiency gains and long-term planning,” Northwood explained.
“It must show how it is right-sizing the business, improving efficiency and investing in the technology and operational reform required to secure the long-term sustainability of the service.
“We are seeking greater pricing stability, clearer long-term forecasting, promotion of the channel’s strengths, and stronger alignment between price increases and operational reform.
“Our objective is to ensure Australia's postal service remains financially sustainable, highly used for its effectiveness, and predictable and fit for purpose for the businesses and communities that rely on it.”
The VMA is currently engaging constructively with both AusPost and the ACCC.
“The ACCC has a critical role given Australia Post’s statutory monopoly over reserved letter services. It must rigorously test the underlying assumptions, cost allocation models and forecasts to ensure prices reflect efficient costs and a reasonable return. Scrutiny and transparency are essential in a monopoly setting,” Northwood concluded.