India’s ride-hailing market is set for intensified competition with the launch of Bharat Taxi, a government-backed, cooperative-driven platform, in the National Capital Region and parts of Gujarat. Formally unveiled by Union Home and Cooperation Minister Amit Shah, the service positions itself as a driver-owned alternative to existing app-based cab aggregators.  

Shah clarified that the government is not operating a taxi business, stressing that Bharat Taxi functions as a cooperative where drivers are owners and stakeholders. The platform’s defining feature is a zero-commission model, allowing drivers—known as “sarathis”—to retain their full earnings, unlike incumbent platforms that rely on commission or subscription-based structures. 

During its pilot phase, Bharat Taxi has onboarded over 250,000 drivers across cars, autos and bikes, with more than 850,000 customers registered in Delhi-NCR. The service currently completes over 10,000 rides daily and plans to expand nationwide within three years.  

Early pricing comparisons suggest fares are lower than Uber and broadly competitive with Ola and Rapido, with no surge or hidden fees. Drivers are also offered benefits such as accident and health insurance coverage.  

Cab driver unions have welcomed the initiative, calling it a step toward fairer incomes and greater social security, while private players have acknowledged the entry as adding diversity to India’s mobility ecosystem. 

Source – Business Standard