They also say the new stand costs taxi customers money and many people have no idea where it is.
The stand was shifted from the lower Octagon last month, with taxi drivers then saying they had reservations about the new location.
The Dunedin City Council had moved the stand from the lower Octagon at night after police raised concerns about incidents between people waiting for taxis and drinkers in nearby bars.
But United Taxis director Bill Overton said the new stand, outside the visitor centre in the upper Octagon, had been poorly publicised.
"We are finding cars speed down Stuart St into the Octagon, right where we have to try and negotiate our way out," Mr Overton said.
"It's dangerous. We have to try and drive out and sometimes they [speeding cars] came from nowhere."
Mr Overton said cars could not drive across lanes to go immediately south, so were forced to drive into George St and then go right around Moray Pl and into Burlington St to go south, adding about $4 to the fare.
"So, people [taxi customers] are losing money out of these changes."
To drive across the lanes to go immediately south was risking a fine of $250, he said.
Taxi driver William Marshall said there were now two taxi queues on a Saturday night, one at the new stand and another at the old stand.
People, some intoxicated, were walking across George St from the lower Octagon to reach the new taxi stand, risking getting struck by a car.
Mr Overton said private vehicle drivers were abusing the five-minute parking limit in the old taxi stand, with one vehicle recently parking there for six hours.
Council transportation operations manager Mike Costelloe said he had spoken to council parking enforcement officers about the new stand and everything appeared to be working well.
It would take people a while to get used to the new stand's location.
Some taxi drivers would be unhappy no matter what the council did, he said.
The council did consult some taxi company managers, but was not going to consult every taxi driver in the city, he added.
