New Delhi: The Indian government is set to launch a government-backed taxi platform similar to Ola and Uber in the coming months. This announcement was made by Union Home and Cooperation Minister Amit Shah during a speech in the Lok Sabha. Shah emphasized that Prime Minister Narendra Modi’s vision of prosperity through cooperation is not merely a slogan but a concrete effort being realized by the Cooperation Ministry over the past three and a half years.
Amit Shah’s Announcement
During a parliamentary discussion on the establishment of Tribhuvan Cooperative University, Amit Shah elaborated on the achievements of the Cooperation Ministry since its inception. He revealed that the government will soon introduce a cooperative taxi platform, registering two-wheelers, auto-rickshaws, and four-wheelers. He assured that the profits from this initiative would directly benefit drivers rather than corporate investors.
Plans for a Cooperative Insurance Company
In addition to the taxi platform, Amit Shah announced the formation of a cooperative insurance company, which will provide coverage for various cooperative institutions across the country. Shah expressed confidence that this company will soon surpass private sector insurance firms in scale and impact.
A Global First
If implemented, India will become the first country in the world to offer a government-backed cooperative alternative to private ride-hailing services. Cooperative ventures have a strong history in India, with Amul being a prime example, having made India the largest milk producer globally and ranking as the world’s eighth-largest dairy company.
Challenges for Ola and Uber
The launch of a cooperative taxi service is expected to pose significant challenges for existing ride-hailing giants like Ola and Uber. The cooperative model aims to provide affordable rides to customers while ensuring better earnings for drivers, addressing long-standing grievances about high commissions and pricing policies imposed by private companies. However, the government has yet to disclose the operational details of this initiative.
