Just curious but I was wondering how postal companies reimburse each other for the cost of postage overseas.
For example, if I mail a parcel from New Zealand to a friend in the UK, I pay the NZ postage service – yet the bulk of the service (sorting, transport and delivery) would be done in the UK and so it seems that the UK postal service bears the higher cost of service delivery but does not get payment.
Do individual countries track parcel costs in some way and bill each other? Or do the companies just reciprocate? Any one know how this works?