POST Fiji is affected by the significant global decline in mail volume.
And permanent secretary for Communication Elizabeth Powell said the trend was a major concern for the industry.
"In 2010, the contraction of domestic mail globally was around 2.3 per cent. Post Fiji has not been an exception," she said.
"Its reduced mail volume has led to drastically reduced profits for the company - from a profit of $1.05 million in 2003 to a loss of $612,000 in 2011," she said while addressing the Universal Postal Union (UPU) Direct Mail Advisory Workshop for Pacific Islands.
The meeting in Nadi is attended by regional participants.
Ms Powell said technology changed the way and the speed at which people communicated and this significantly impacted businesses and personal interactions locally and globally. She said the three-day workshop would address the needs of designated operators, in view of their existing resources and their current and potential customers, for developing postal services and volume in the direct mail sector.
"In each, and between Pacific Island countries, we need to overcome large tracts of ocean that separate our people."