Amit Shah, India's Union Cooperation Minister,launched the cooperative ride-hailing platform Bharat Taxi on Saturday in a bid to challenge the dominance of private cab aggregators like Uber and Ola. service,which began operations in 14 cities across Gujarat, aims to protect drivers' interests while enhancing passenger experiences.
Shah criticized business practices of established ride-hailing companies,claiming they exploit both drivers and passengers. He argued that these platforms prioritize profits over fair treatment, imposing high commissions on drivers and suspending their registrations based on customer complaints without allowing drivers to defend themselves.
“They want Bharat Taxi to fail so they can once again function arbitrarily,” Shah said, emphasizing that the cooperative model seeks to empower drivers as stakeholders rather than mere service providers. He expressed confidence that spirit of cooperation in India would thwart any attempts by private companies to undermine Bharat Taxi.
During the launch event,attended by Gujarat Chief Minister Bhupendra Patel and other officials,Shah assured potential customers that Bharat Taxi's introduction would lead to competitive fare reductions from existing companies. He noted that when Bharat Taxi's fares were announced, rival firms quickly slashed their prices,even at the risk of incurring losses.
“Our intention is not to inflict losses on anyone,” he stated, adding that the fare reductions and increased commissions for drivers were tactics employed by competitors to stifle Bharat Taxi's market entry.
Shah also highlighted the zero-commission model of Bharat Taxi,which allows drivers to keep the entire fare while granting them ownership stakes in platform. This approach is intended to foster a sense of community and cooperation among drivers,aligning with larger cooperative movement in India.
“For their profits, these companies exploited countless sarathis as well as citizens who used taxi services,” Shah remarked, detailing how drivers often faced delayed payments and arbitrary deductions from their earnings. He reiterated that Bharat Taxi was established to eliminate such exploitative practices.
The platform, which had a soft launch in December, is projected as India's first cooperative-owned, driver-led ride-hailing service. It will initially offer three categories of transport: two-wheelers, auto-rickshaws, and four-wheelers. The formal launch took place in cities including Ahmedabad,Surat,and Vadodara, among others .
To enhance its operational framework,Bharat Taxi has signed memoranda of understanding with various local organizations, including the Gujarat Metro Rail Corporation and the Ahmedabad Municipal Corporation. Shah announced plans for the service to expand to major cities such as Nagpur,Pune, and Mumbai by July 31,with ambitions to reach over 500 cities and towns within two years .
Addressing the drivers present,Shah underscored their role in broader cooperative movement that includes millions of farmers. He referenced Prime Minister Narendra Modi's vision of “Sahakar Se Samriddhi” (prosperity through cooperation),suggesting that the cooperative model exemplified by Bharat Taxi could eventually extend to other sectors.
