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Group to DOTr: Allowing Grab in moto-taxi is anti-competitive

Digital Pinoys

A network of digital advocates urged the Department of Transportation not to allow GrabBike’s participation in the motorcycle taxi pilot program. The transportation department recently announced the expansion of the program to other areas with more players involved.

In a position paper submitted to the motorcycle taxi technical working group, Digital Pinoys national campaigner Ronald Gustilo stated that allowing GrabBike would make it the second player under Grab, which is already a participant in the motorcycle taxi pilot program through its acquisition of Move It.

“Another Grab program should not be allowed to join, as it would give them undue advantage over other players.”

Gustilo also emphasized that the TWG should first address the issue of Grab’s backdoor entry through its acquisition of Move It.

“Before even discussing the entry of GrabBike, the TWG should act on the complaints against their backdoor entry into the motorcycle taxi program. The government should not allow entities with a history of violations to expand until all complaints are resolved and violations corrected.”

Gustilo highlighted the importance of disallowing foreign companies like Grab from participating in the local motorcycle taxi program to ensure robust competition in the industry.

“Local players should be prioritized in the expansion and given more incentives. Disallowing foreign entities like Grab will boost the chances of local players flourishing. The government needs to protect consumers from possible buyouts by foreign entities like Grab against local players. There should be a policy against the sale of permits and eventually franchises.”

The position paper can be accessed here: https://bit.ly/MCTaxiPositionPaper