India jumps to 11th position in global direct selling ranking
Indian market
India climbed up to the 11th place in the global direct selling ranking as it clocked sales of $3.23 billion (around Rs 26,852 crore) in 2022, said a report by global industry body the World Federation of Direct Selling Association (WFDSA).
Last year, India’s direct selling registered a growth of 5.4 per cent over 2021 retail sales, the WFDSA report stated.
In the last three years, India saw the highest Compounded Annual Growth Rate (CAGR) of over 13.3% on a constant dollar basis.
While India registered strong growth, the global direct selling industry reported a decline of 1.5 per cent in 2022 to $172.89 billion, PTI news agency reported.
The United States, though registering a decline of 5 per cent over 2021, retained its top spot with direct sales worth $40.52 billion. It was followed by Korea, Germany, China, Japan and Malaysia.
Report a major booster for Indian retail industry
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Indian Direct Selling Association (IDSA) Chairman Rajat Banerji said that the report has injected optimism in the mood of the industry and added that India has the potential to make a position in the top five global markets over the next decade."
With the notification of Consumer Protection (Direct Selling) Rules 2021 and its subsequent amendment, the direct selling industry in India should see stability that could inspire investor confidence as well as interest from the large global direct selling companies, he added.
"Only three among the top ten (sellers) are in India today and we would like to see all start their business in India," Rajat said, reported PTI news agency.
IDSA is a self-regulatory body for the direct selling industry in India.
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The WFSDA was established in 1978. It is a non-governmental, voluntary organisation. As a union of national associations, it represents the world-wide direct sales industry. The Federation Secretariat is located in Washington.
The World Federation of Associations of Direct Selling consists of 57 national associations and one regional (namely, the European Direct Selling Association), its website states.
(With inputs from agencies)
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