Union Home and Cooperation Minister Amit Shah on Wednesday formally launched Bharat Taxi, India’s first cooperative-based taxi service, marking a major step towards extending the cooperative ownership model to the unorganised and gig economy. The launch event in New Delhi drew participation from over 1,200 taxi drivers, referred to as Sarathis, from several States, underlining broad grassroots support for the initiative.
Speaking at the programme, Shah said that under the leadership of Prime Minister Narendra Modi, the Ministry of Cooperation is developing an ownership-rights model for workers in the unorganised sector, ensuring that the fruits of labour remain with those who actually work. He underlined that Bharat Taxi represents cooperation entering the taxi sector, not the government, and stressed the crucial distinction between sahakar (cooperation) and sarkar (state control).
Bharat Taxi, he said, is a unique cooperative enterprise in which the Sarathi driving the vehicle is also its owner. Unlike conventional app-based aggregators that build capital by charging high commissions, Bharat Taxi is designed to raise drivers’ incomes by giving them ownership of profits. “Earlier, the wheel of your taxi earned for someone else. Now, that same wheel will make you the owner and earn for you,” Shah said.
Drawing parallels with successful cooperative institutions such as Amul, IFFCO and KRIBHCO, Shah noted that transformative outcomes often begin with small contributions. In Bharat Taxi, the maximum share capital is just Rs 500, yet this modest amount confers full ownership rights on Sarathis. Elections will be held every five years, with two driver representatives on the board to safeguard members’ interests, reflecting the democratic ethos of cooperatives.
Under the model, Bharat Taxi will retain only 20 percent of the total earnings, while the remaining income flows directly into the Sarathi’s bank account without delays. There will be no platform fees, booking charges or commissions deducted from drivers’ earnings.
Payments made by passengers will be transferred automatically and immediately to drivers, ensuring transparency and financial security.
The service will integrate four-wheelers, three-wheelers and two-wheelers, widening livelihood opportunities. A special Sarathi Didi feature has been introduced to prioritise women’s safety and empowerment. Through a dedicated app window, women passengers can opt to be driven exclusively by women Sarathis, who will operate two-wheelers at affordable fares, combining safety, dignity and self-reliance.
Bharat Taxi’s four core principles-ownership, security cover, dignity and equitable distribution of dividends,
also translate into tangible welfare measures. Sarathis will be eligible for free medical treatment up to Rs 5 lakh under Ayushman Bharat after registering on the e-Shram portal, along with insurance cover, access to affordable loans, subsidies and all government schemes for gig workers. SOS alerts, multi-level grievance redressal and 24×7 helplines are integral to the platform.
The initiative has already begun influencing the wider market, with several large taxi companies reportedly reducing commissions and offering incentives in response. Within eight months of its establishment on June 6, 2025, Bharat Taxi has recorded strong adoption in Delhi-NCR and Gujarat, surpassing many competitors in driver and passenger registrations. The service is expected to expand nationwide within three years.
Nine Memorandums of Understanding were exchanged with major institutions, including Delhi Traffic Police, DMRC, Airports Authority of India, SBI, IFFCO Tokio, Paytm, GMR and the National e-Governance Division. These partnerships will enable regulated airport operations, last-mile metro connectivity, digital onboarding through DigiLocker and UMANG, priority vehicle financing, insurance cover and seamless digital payments.
The launch was symbolically marked by a rally of 100 cars from IGI Airport to Vigyan Bhawan, while top-performing Sarathis were felicitated with accident and health insurance certificates. Shah said Bharat Taxi is not merely a transport service but a new chapter for the cooperative movement, opening pathways for dignity, security and shared prosperity for millions of drivers across India.
