Union Home Minister Amit Shah accused private cab aggregators of temporarily slashing fares to prevent Bharat Taxi's growth, a cooperative ride-hailing platform.
Shah said competing companies were willing to incur losses for a limited period to stop Bharat Taxi from gaining ground.
Bharat Taxi, launched in 14 Gujarat cities, aims to expand to over 500 cities across the country within the next two years.
The cooperative-led, driver-owned ride-hailing service operates on a zero-commission model, where drivers keep the full fare.
Shah alleged that existing aggregators deduct high commissions, delay payments, and suspend drivers without giving them a hearing.