THE major Shanghai-based courier firms are charging higher fees to offset rising costs as increasing demand for deliveries and a labor shortage as the Spring Festival approaches are putting pressure on them.

The Yunda and Zhongtong express delivery firms have imposed an additional fee of 1 yuan (16 US cents) on each transaction, while Huitong is charging 0.5 yuan more, they said on their official websites. Meanwhile Zhongtong has also announced it will raise delivery fees by 2 to 3 yuan for each kilogram.

"The rise in price is mainly to improve our services and ensure every deal is delivered on time," a press officer of Yunda Express, who declined to be named, said.

Shao Zhonglin, deputy secretary general of the China Express Association, said the firms were forced to raise prices because the delivery price could hardly cover rising fuel costs, equipment and labor.

Xu Yong, an analyst covering the industry, said: "It will be difficult to hire more workers to cope with the expanding business volume ahead of the Spring Festival."