New Taxi Revolution? Govt plans cooperative model to help drivers, riders alike

New Delhi: The objective of a taxi company based on cooperative model is to facilitate democratic management through active participation of all members, and to provide for equitable distribution of maximum profit accruing to such cooperative taxi society among the taxi drivers who will form that society, the government said.

Taxi Industry Overhaul

India boasts more than 8 lakh cooperative societies that have nearly 30 crore members operating in 30 sectors. Responding to the discussion over Tribhuvan Sahkari University Bill, 2025 in Lok Sabha, Union Home Minister and Minister of Cooperation, Amit Shah stated this week that shortly in near future, a cooperative taxi service will be launched in which registration of two wheelers, taxis, rickshaws and four wheelers will be done and profit will directly reach the driver. Sahkari economic cooperation models have been shown to be more successful for its members, more just and leading to growth that is inclusive for everyone, such as in Amul's example.

Better Pay, Smoother Rides

These cooperatives contribute significantly towards achieving self-reliance, inclusion in the financial system, and rural development, especially in agriculture, dairy, fisheries, banking, housing, consumer services, labor, sugar etc. These cooperatives operate in the market among other players such as private firms. The cooperatives are registered under the law of the concerned state/UT and societies that operate in several states/UTs and registered under the Multi State Cooperative Societies Act. The government has encouraged and supported startups and other businesses in the past for the inclusive and fair growth of the country.