Created: Tuesday, 28 July 2015 16:04
The direct selling Industry in India has the potential to become a Rs 645 Billion (approximately USD10 billion) industry by 2025 according to the projection of a recent KPMG Report.
Speaking on the Retail India Summit organized by Indian Chamber of Commerce, Rajat Banerjee, Chairman, IDSA (Indian Direct Selling Association) urged for a separate legislation for the industry that would provide the industry an opportunity to grow. He cites the existence of the separate law in countries like China, Japan, Korea, Thailand, Vietnam and Singapore.
At present the Indian direct selling industry is valued at over Rs 7,000 crore (approx. USD 1.1 billion).
It is one of the fastest growing non-store retail format, recording a double digit growth of more than 20 per cent over the past five years. The growing Indian market has attracted a large number of local and foreign direct selling companies.
Though direct selling is a relatively new industry in India, in less than two decades it has provided self-employment opportunities to more than 5 million people, out of which nearly 60 per cent are women. The industry also contributes to the exchequer and in 2012-13 alone the industry generated Rs.10 billion (approx. USD 155 million) in taxes.