The Indian Direct Selling Association (IDSA) has hailed the Kerala Government’s new direct selling regulatory framework as a transformative initiative for the industry. They believe this step will bolster the sector’s contribution to the state’s economy by fostering a transparent, consumer-centric, and growth-oriented environment for direct sellers.
Samir K Modi, a council member of the IDSA, expressed that the government’s move to introduce clear and specific guidelines for more than 150,000 direct sellers and companies operating in Kerala is significant in bolstering the direct selling industry.
Kerala has taken a pivotal leap in strengthening its ₹522 crore direct selling market by issuing well-defined guidelines and launching an online portal. This initiative is expected to improve transparency and ensure regulatory compliance while facilitating the sustainable growth of the industry.
According to IDSA’s annual survey for the fiscal year 2022-23, India ranks as the 11th largest direct selling market in the world, generating a turnover exceeding ₹21,000 crore and witnessing a compound annual growth rate of 8.3%. Within the southern region, Kerala holds a 17% share of the direct selling market, alongside states like Tamil Nadu, Karnataka, Telangana, and Andhra Pradesh.
The structured monitoring system implemented by the Kerala government, along with the introduction of an online enrollment platform for direct selling entities, symbolizes a new era of regulation and transparency, Modi noted.
Vivek Katoch, the IDSA Chairman, stated that the association has actively collaborated with various departments, including food, civil supplies, consumer affairs, and legal metrology, to share industry recommendations and the perspectives of direct sellers in developing an effective monitoring mechanism. The IDSA remains dedicated to supporting the state in cultivating a growth-focused ecosystem.
The IDSA has also been engaged with both central and state governments to establish a responsible regulatory framework that aligns with the Consumer Protection (Direct Selling) Rules, 2021. This framework aims not only to protect consumer interests but also to enhance the trustworthiness of the direct selling industry.
