Will Uber fare well in Dhaka?

Dhaka already has a number of e-hailing services, but they have met with lukewarm enthusiasm. E-business experts told the Dhaka Tribune that Uber would not face the trouble that other companies have. “Uber is a global organisation. If the company comes to Bangladesh, it will ensure a smooth transport system for commuters,” said Rezwanul Haque Jami, vice-president of E-Commerce Association of Bangladesh (ECAB). Chalo and Bdcabs are similar online transportation network service, both of which were launched in Dhaka last year. Two other e-hailing services gearing up to start their operations are Oi Khali and Taxiwala. Chalo, in association with US-based Desh Ventures Inc, provides on-demand car services via its mobile app and call centre, where passengers can pay the fare in cash and through bKash. On Bdcabs, people can book taxis, private cars and CNG-run autorickshaws using a mobile app and website or by calling for a ride. BDCabs CEO Ishraq Tariq said the the complex legal system in the country was a hindrance to app-driven cab services. “So investors willing to set up a a startup here are likely to face trouble, whether Uber or not.” Shamsul Haque, professor of civil engineering at Buet, disagree. “Jakarta and Kolkata are as chaotic as Dhaka and Uber is successful in those cities,” he said. According to a recent UNDP report, traffic in Dhaka cost around $4.6bn annually in lost time, fuel and health consequences. The average speed of Dhaka vehicles has come down to 6kph from 17.2kph in 2005, according to Dhaka Transport Coordination Authority.