Reliance To Buy Mumbai's Black & Yellow Taxis

[vikyjoshi]

Reliance is planning to buy all black and yellow cabs of Mumbai to make its entry into the taxi business. It is said that the company is in talks with the taxi union.

If everything goes to the plan Reliance will operate the cabs as part of the connected radio taxi service. It is said that Reliance has offered to pay Rs 5 lakh per taxi including the license rights. Although, the taxi union is pressing on to increase the amount to Rs 7 lakh per cab. As part of the deal Reliance will pay Rs 20,000 to each driver for a day's shift and will provide a one month paid leave.

But the taxi union wants to extend the paid leave period to two months. It is said that these are the points where the negotiations are currently stuck.

Read more at: reliance-buy-cabs-mumbai - DriveSpark

 

[Akash1886]

Is Reliance eyeing the Radio-Cab business? Mumbai indeed can be a lucrative market for it surely. Peeli-Kaali as they are called in Mumbai, these taxis are the oldest and among the lifelines of Mumbai city. But, how would the fare be decided? Will the drivers fix their car's meters? I guess this move is made because of the growing popularity of other players in this field. Today these peeli-kaali taxis are facing stiff competition with OLA, Uber etc so in a way if a big brand like Reliance is ready to pay them then I believe better days are certainly awaiting these peeli-kaali taxis.

Regards

Akash

 

[vikyjoshi]

Well what I rather feel is Reliance will buy out these old ricketty taxis and dump them, and with the license they have for driving a taxi in Mumbai they might do something like the london taxi. Remember there are couple of chinese vehicle manufactures coming in India. Reliance might get a steal deal from them and give them bulk orders for bringing taxi in Mumbai. All this is just speculation. But a possible one.