Sahkar Taxi: Government to Launch Cooperative-Based Ride Service to Compete with Ola and Uber

Sahkar Taxi: Government to Launch Cooperative-Based Ride Service to Compete with Ola and Uber

The Union Government has announced the launch of Sahkar Taxi, a cooperative-based ride-hailing service aimed at providing bike, cab, and auto-rickshaw services across India. This initiative seeks to offer an alternative to private platforms like Ola, Uber, and Rapido by ensuring that drivers receive direct earnings without sharing profits with large corporations.

The announcement was made by Union Home Minister and Minister of Cooperation, Amit Shah, in Parliament, highlighting the government’s commitment to empowering drivers and providing passengers with a reliable and cost-effective transport solution.


🚖 What is Sahkar Taxi?

Sahkar Taxi is a government-backed ride-hailing service that will register and operate:

  • ✔️ Two-wheeler taxis
  • ✔️ Auto-rickshaws
  • ✔️ Four-wheeler taxis

The service will function under a cooperative model, where drivers will be direct stakeholders, ensuring that profits remain with the drivers instead of flowing to corporate intermediaries.


🎯 Purpose and Goals of Sahkar Taxi

Empowering Drivers

  • Unlike private ride-hailing companies, Sahkar Taxi will ensure that drivers retain the full earnings from their rides.
  • Drivers will be organized under cooperative societies, giving them collective bargaining power and financial independence.

Affordable and Reliable Transport for Passengers

  • Sahkar Taxi aims to provide a cost-effective transport option, reducing the financial burden on passengers.
  • The service will focus on local language support and round-the-clock customer assistance for a smooth customer experience.

💼 Amit Shah’s Statement on Sahkar Taxi

While announcing the initiative, Amit Shah emphasized the government’s focus on cooperative development through ‘Sahkar se Samriddhi’ (Prosperity through Cooperation).

“The profits from this service will not go to any big industrialist but will go solely to the drivers of the vehicles,” — Amit Shah

Shah also confirmed that the Sahkar Taxi service will be launched in the coming months after completing the necessary framework and registration processes.


🛡️ Cooperative-Based Insurance System

In addition to the Sahkar Taxi service, the government will introduce a cooperative insurance company to cover drivers and vehicles under the cooperative system.

  • This company will work exclusively with cooperative-based businesses and become one of the largest private-sector insurance providers in the country.
  • The insurance system aims to protect drivers and passengers by offering competitive rates and comprehensive coverage.

🌍 Learning from State-Level Models

🚖 Yatri Sathi in West Bengal

  • West Bengal’s government-backed Yatri Sathi service has already seen success in cities like Kolkata, Siliguri, Asansol, and Durgapur.
  • It provides affordable fares, quick booking, and customer support in local languages, making it popular among passengers.

🚖 Kerala Savaari in Kerala

  • In 2022, Kerala became the first state to introduce a government-owned online taxi service, Kerala Savaari.
  • However, it was discontinued due to low usage.
  • The Kerala government now plans to relaunch the service with improved fare structures and upgraded software.

🚀 Why Sahkar Taxi Could Succeed

  1. Driver-Oriented Model: Unlike private services that take a percentage of driver earnings, Sahkar Taxi will allow drivers to retain their full income.
  2. Government Support: Direct backing from the Union government will ensure regulatory stability and operational support.
  3. Insurance Protection: Drivers will benefit from a dedicated cooperative insurance scheme, enhancing job security.
  4. Affordable Fares: Reduced operational costs and cooperative ownership could lead to competitive pricing for passengers.

📅 When Will Sahkar Taxi Be Launched?

  • The Sahkar Taxi service is expected to be rolled out in the coming months after completing the registration and operational setup.
  • The government has already started forming cooperative groups and setting up the insurance framework to ensure smooth operations.

✅ Conclusion

The launch of Sahkar Taxi represents a significant shift towards a driver-focused transport model in India. By allowing drivers to retain their earnings and operate under a cooperative framework, the initiative aims to challenge the dominance of corporate ride-hailing platforms while offering passengers a reliable and affordable alternative.

As the service rolls out, it could reshape the future of urban transport in India, empowering drivers and improving the overall ride-hailing experience for passengers.


Shopping Cart
Scroll to Top