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Sharp decline in traditional taxi services in Armenia: The Competition Protection Commission study

Armenia
Arshaluis Mgdesyan
14.03.24 18:26
56

The Competition Protection Commission conducted a study of the transportation services sector provided through online platforms in Armenia.

According to the Commission's press service, the study found that the rapid development of electronic platforms significantly reduced the share of traditional taxi services in the market. Out of 3162 registered organizations, 2787 have been inactive from 2018 to 2023, and for the rest, tax payments have significantly decreased.

"Currently, there is no legislative regulation and control over transportation services on online platforms," the study notes.

The authors of the study emphasize that an increase in concentration in the online taxi sector is observed in Armenia. "The share of business owners holding a dominant position in the market increased from 2021 to 2023," the report states, without specifying the name of the particular business entity.

In Armenia, there are three main taxi applications: Yandex Go, GG, and UTaxi. The cost of a trip around Yerevan starts from 500 drams, which is approximately 1.2 dollars.

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