Bharat Taxi: India Launches First Cooperative Cab Service to Challenge Ola and Uber with Zero Commission Model

The pilot phase of Bharat Taxi is scheduled to launch in November in Delhi.

New Delhi:

The Centre has introduced "Bharat Taxi," India's pioneering cooperative taxi service, created to compete directly with private operators like Ola and Uber. This initiative, developed collaboratively by the Union Ministry of Cooperation and the National e-Governance Division (NeGD), ensures drivers retain complete ownership of their earnings while providing passengers with a government-monitored alternative to existing cab aggregators.

Over recent years, complaints regarding app-based taxi services have increased significantly, ranging from unclean vehicles and excessive fares to random cancellations and unexpected price surges. Many drivers have expressed dissatisfaction with the high commission rates imposed by companies, often resulting in losses of up to 25 percent of their fare revenue.

Bharat Taxi aims to transform this situation. Unlike traditional private aggregators, Bharat Taxi drivers will not be subjected to commission fees on their rides. Instead, they will operate under a membership structure, paying only a modest daily, weekly, or monthly fee. Government officials believe this approach will significantly enhance driver earnings.

The pilot program for Bharat Taxi will commence in November in Delhi, featuring 650 vehicles with their owner-drivers. Upon successful implementation, a complete rollout is planned for December, when the service will extend to additional major cities.

Officials have stated that 5,000 drivers, including both men and women, will participate in the initial nationwide phase. The service will gradually expand to 20 cities, including Mumbai, Pune, Bhopal, Lucknow, and Jaipur, during the subsequent year.

By March 2026, the government plans to establish Bharat Taxi operations in several metropolitan regions, and by 2030, the platform is expected to incorporate 1 lakh drivers, reaching district headquarters and rural areas.

Bharat Taxi will operate as a cooperative enterprise rather than a privately owned corporation. The platform will be managed by Sahakar Taxi Cooperative Limited, established in June 2025 with initial capital of Rs 300 crore.

Oversight responsibilities will be handled by a newly formed governing council, chaired by Jayen Mehta, Managing Director of the Gujarat Cooperative Milk Marketing Federation, renowned for its Amul brand. Rohit Gupta, Deputy Managing Director of the National Cooperative Development Corporation (NCDC), serves as Vice Chairman.