A CAIRNS taxi driver had every right to fear for his life, police say, after he had a rope tied around his neck and was threatened with a knife in a terrifying armed attack.

The experienced 52-year-old driver has been offered counselling after he was left shaken by the incident at Mt Sheridan on Wednesday night.

Police are now searching for two men who fled on foot with a third man from the Bowen St address after taking all of the driver's money.

"The fact that a rope was placed around his neck, he certainly would have feared for his life and quite rightly so,'' Cairns police Acting Sgt Russell Parker said.

"It was fortunate he complied with their demands and handed over all the money he had  otherwise the situation could have become much worse.''

Cairns Taxis chairman Layne Gardiner said the driver had been responding to a job that had been called in.

"When the driver arrived he asked where they wanted to go and the men have said 'we're here to rob you' and put some rope around his neck,'' Mr Gardiner said.

"He's an experienced driver and he's been around for quite a while, but you're never ready for this.''

Mr Gardiner praised the driver's response to the attack, pushing the emergency button immediately, which begins a voice recording inside the vehicle.

He said upgraded security meant every passenger entering a taxi was photographed and they had been able to give high-resolution images to police, who are continuing to track the offenders.

Both men are described as caucasian, one with light brown hair and about 178cm tall and the other with blond hair.
The third man, who was standing at the rear of the taxi during the robbery, fled with the other two down Bowen St and the trio were last seen turning on to Fitzroy St.

Anyone with information which could assist with this matter should contact Crime Stoppers anonymously via 1800 333 000 or crimestoppers.com.au 24 hours a day.

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