Bharat Taxi to Guarantee Minimum Base Fare, Return 80% Profits to Drivers: Amit Shah

New Delhi, February 23: Union Cooperation Minister Amit Shah on Monday said the newly launched cooperative ride hailing platform Bharat Taxi will ensure a minimum base rate per kilometer for drivers and return 80 per cent of profits to them, positioning the service as a worker owned alternative to existing aggregators.

Addressing taxi and auto drivers from Delhi NCR and Gujarat during a 40 minute town hall, Shah said traditional ride hailing companies had avoided setting a minimum fare floor to maximize corporate profits, leaving drivers without income security.

"I asked all three companies whether they had set a minimum base rate for their drivers. They said no," Shah said. "We will not do this. Whatever business you do, your minimum should be fixed. And whatever is more than that has to come back to you."

Profit Sharing Model Inspired by Amul​

Shah repeatedly cited the Amul dairy cooperative model as the blueprint for Bharat Taxi’s structure, describing it as a scalable example of a producer led enterprise.

He said 36 lakh women had built Amul with an initial investment of Rs 50 each, growing it into an organization with a turnover of Rs 1,25,000 crore.

"In a private dairy, the profit goes to the owner. In Amul, 85 per cent goes back to the producer. Bharat Taxi is the same concept for mobility," he said.

Under the proposed framework, 80 per cent of profits generated by Bharat Taxi will be distributed to drivers based on kilometers driven, while 20 per cent will be retained as cooperative capital. Drivers can become co owners by purchasing a Rs 500 share in the platform.

Shah added that as membership expands, driver representatives will be given reserved seats on the board of directors.

"When the board makes a policy against the drivers, your representative will stand up and ask how can you do this to our company?" he said.

Three Year Expansion Plan​

Bharat Taxi is currently operational in Delhi NCR and Rajkot. Shah said the platform aims to enroll 15 crore drivers within two years and expand to every city with a municipal corporation within three years.

He acknowledged that the profit sharing system would take up to three years to fully activate and urged drivers to remain patient during the initial phase.

"Like a child who we raise for 30 to 40 years and who then takes care of us, you have to be patient for the first three years," he said.

The service was formally launched on February 5 after a two month pilot. Backed by eight leading cooperative organizations, it plans a pan India rollout over the next three years, entering a market currently dominated by players such as Ola, Uber and Rapido.

Unlike established aggregators that deduct 25 to 30 per cent as commission, Bharat Taxi currently charges no commission from drivers.

Saarathi Didi Feature for Women Riders​

Shah also announced the introduction of a dedicated Saarathi Didi feature in the Bharat Taxi app. The feature will allow women passengers travelling alone to prioritize female drivers.

The announcement followed an interaction with Neelam Sharma, a single mother from Bihar who took up cab driving after her husband’s death and whose account had earlier been suspended by a previous aggregator.

"Women who travel alone will give priority to Saarathi Didi. Even if brothers earn a little less from this, it is our collective responsibility," Shah said.

Grievance Redressal and Driver Welfare​

To address complaints about limited support systems on existing platforms, Bharat Taxi will introduce a three channel grievance redressal mechanism for drivers, including online, physical and call centre options.

"Even if a driver does not know how to complain online, they can call and register their complaint. It will be automatically recorded," Shah said.

He added that any policy changes on the platform would be communicated to drivers at least one week in advance through app notifications.

Shah also urged drivers to adopt the term Saarathi instead of driver, invoking Lord Krishna’s role as Arjun’s charioteer in the Mahabharata to emphasize dignity of labor.

Loans for new vehicles will be facilitated through cooperative banks using taxis as mortgage, while insurance coverage will be provided through IFFCO Tokyo at minimum premiums under a tie up with the platform.

The town hall interaction was attended by Dharam Vallabh, a member of Bharat Taxi’s board of directors.