Bharat Taxi Rolls Out as Cooperative-Led Alternative to Uber and Ola

India’s ride-hailing sector may be on the cusp of a structural shift with the launch of Bharat Taxi, a new cab aggregation service rooted in the cooperative model. The platform was formally unveiled on Thursday by Union Home Minister Amit Shah and is being pitched as a driver-focused alternative to established private players such as Uber, Ola and Rapido.

The initiative aims to respond to persistent concerns surrounding the gig economy, particularly complaints from drivers about shrinking earnings and from passengers about unpredictable surge pricing.

Driven by Cooperatives, Not Corporates

Bharat Taxi is being operated by Sahkar Taxi Cooperative Limited, a multi-state cooperative registered under the Multi-State Cooperative Societies Act. Unlike venture-funded ride-hailing companies, the platform draws backing from well-known Indian cooperative institutions, including IFFCO, Amul and NABARD, among others.

The ownership structure sets it apart. Drivers, known as Sarathis, are enrolled as members of the cooperative and hold shares in the entity, enabling them to participate not only in operations but also in governance and profit-sharing.

A Different Business Model on the Road

Departing from the commission-heavy framework common in the industry, Bharat Taxi has adopted a fixed-fee system. Drivers are required to pay a daily platform access charge of about ₹30, instead of surrendering a percentage of each fare.

This approach is intended to ensure that drivers retain a larger portion of their daily earnings, irrespective of the number of trips completed. The mobile application—available on both Android and iOS—supports a wide range of services, from auto-rickshaws and bike taxis to AC, non-AC and larger-capacity cabs. Multilingual functionality and planned integration with public transport systems, including metro networks, are also part of the platform’s design to strengthen last-mile connectivity.

Focus on Income Stability and Social Security

Improving driver livelihoods remains a central objective of the Bharat Taxi model. The absence of per-ride commissions is expected to make incomes more predictable, while cooperative membership opens the door to shared profits.

In addition, the platform is reported to be working towards offering social security measures, including health and accident insurance and retirement-linked benefits—provisions that are typically missing in conventional gig-based ride-hailing arrangements.

How It Differs from Existing Aggregators

The contrast with Uber and Ola is sharp. On private platforms, drivers usually operate as independent contractors with no ownership rights. Bharat Taxi, by contrast, treats drivers as stakeholders, granting them voting rights and a voice in decision-making.

Cost structures also diverge significantly. While private aggregators deduct commissions on each trip, Bharat Taxi’s flat daily fee model is designed to bring greater transparency and reduce financial pressure on drivers.

What Passengers Can Expect

For riders, one of the most notable promises is non-surge pricing. By eliminating algorithm-driven fare spikes during peak hours, the service aims to offer more consistent pricing.

Officials associated with the rollout suggest that savings generated through the zero-commission framework could make fares as much as 30 per cent cheaper than those charged by private platforms, although actual prices are expected to differ depending on location and demand.

Safety provisions have also been emphasised. The app includes round-the-clock customer support and emergency features, alongside physical help desks set up in collaboration with police authorities—such as the 35 assistance booths established with the Delhi Police.

A Test Case for Cooperative Mobility

Bharat Taxi marks a significant experiment in applying the cooperative model to a technology-driven, urban mobility service. By addressing driver grievances over earnings and offering riders relief from volatile pricing, it seeks to carve out space in a market dominated by large private firms.

Its long-term impact will depend on execution, scale and user adoption. Yet, with government support and a structure that places drivers at the centre, Bharat Taxi is being positioned not merely as a new entrant, but as an alternative vision for ride-hailing in India.

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