North leads direct selling space
Maharashtra tops list; Southern region clocks 13% share
image for illustrative purpose
With India's thrust on direct selling of goods increasing, Southern region records 13 per cent share in the total gross direct sales and Telangana stood at 1.74 per cent in 2019-20 according to a survey released by Indian Direct Selling Association (IDSA). The region includes the States of Tamil Nadu (2.68 per cent), Karnataka (4.38 per cent ), Andhra Pradesh, and Telangana (1.29 per cent), Kerala (2.55 per cent) and the Union Territories of Andaman and- Nicobar, Pondicherry, and Lakshadweep.
The survey of 2019- 2020 highlights the contribution of Northern region as around 28 per cent of the direct selling sales in the country in 2019-20, followed by the Eastern region with approximately 26 per cent of the sales. Among the States, Maharashtra had the highest share of sales across the country with 12 per cent of the gross sales in 2019-20, closely followed by West Bengal, contributing at 11 per cent of the direct selling sales in the country.
The Indian Direct Selling Industry registered a healthy year-on-year growth of 28 per cent, with the gross industry turnover at Rs 16,776 crore in 2019-20 according to the Annual Survey report. The industry turnover stood at Rs 13,080 crore in 2018-19.
The IDSA Annual Survey Report 2019-20, complied by Ipsos Strategy 3, was virtually released on Friday by Som Parkash, Minister of State for Commerce and Industry. The minister said "Direct Selling industry is providing an opportunity to generate self-income to millions of people in the country. Creating a conducive environment for industries to thrive, is amongst the top priorities of the Ministry of Commerce and Industry. The ministry has undertaken several initiatives in this regard, and I urge the Direct Selling industry to take advantage of them."
Wellness and nutraceuticals products contributed 57 per cent of the Indian Direct Selling sales, followed by cosmetics and personal care segment with a 22 per cent contribution in sales in 2019-20. India has made rapid progress in Direct Selling business, having recorded an 18 per cent CAGR over a period of four year.
