Inspired by the sucess of online taxi companies like OLA / UBER and as per recommendation by the central ministry of land transport and national highway to improve transportation facilities across India, Kerala Government is about start an online taxi and auto booking service.
In the first phase, it will be started like Trivandrum, Kochi and Kozhikode and if it turns out to be a successful project then more cities and towns will be included in the list.
The project is being implemented by joining hands with Motor Vehicle Welfare Boadd ( Motor Thozhili Kshema Nidhi Board ), Kerala Motor Vehicles Department and Legal Metrology Department.
Kerala state welfare board has already outlined the prospective business opportu ities of this project and it has been presented before the authorised trade unions in Kerala.
Government has assigned Ooralunkal Labour Co-Operatve society based is Kozhikode to provide the initial technical support.
Is there still a untapped opportunity in online taxi business in Kerala?
Considering the fact that online taxi service is a huge success around the world and with UBER being the global leader, is it actually a success in Kerala.
During the initial phase of online taxi service in Kerala there were immense offers from the online taxi providers to lure the customers but later on they have increased their charges. That ended up in a considerable drop in business and the companies had to reduce the number of special offers to the customers and eventually many cars which were attached with the taxi business had to withdraw.
The major players like the OLA and UBER is still on a price war trying to lure more customers in hiring their cars, where lies the opportunity of Government sponsored online taxi service.
Just like how Jio has entered into the telecom industry with bang and offered their services at a a never before price and grabbed a lion’s share of the telecom market, new online taxi services have to venture themselves into the market with irresistible offers.
Concerned central ministry has also notified that those states that take up initiative for innovative projects related to land transportation has to be promptly issue license for its operations. These steps by the central government has also paved the way for this innovative transportation project.
State President of Motor, Taxi and Light Motor Workers Federation (CITU) Mr. K.S Sunil Kumar has welcomed decision.