*Women direct sellers rise from 37% to 44% of the total direct selling force
*Northern Region leads with nearly 30% share in gross sales, followed by East at 24.2%
*Wellness products top all segments with cosmetics and personal care in second place
*Maharashtra shares the highest with 13% in gross sales among all states
New Delhi: Marching ahead with sustained growth, India’s direct selling industry has achieved an all-time high with a turnover of Rs. 22,142 crores in FY 2023-24, marking a 4.4% year-on-year (YOY) growth from Rs. 21,282 crore in the previous fiscal year, according to an Annual Survey Report released by the Indian Direct Selling Association (IDSA) here on Tuesday.
The survey, conducted by IPSOS, the knowledge partner of the IDSA, an apex association of direct selling industry in India, was unveiled by Chirag Paswan, Union Minister for Food Processing Industry, during an event highlighting the growth of the direct selling sector and sustained expansion, with a CAGR of 7.15% over the past five years, growing from ₹16,800 crore in FY 2019-20 to ₹22,142 crore in FY 2023-24.
The Country’s northern region leads with 29.8% of gross sales, followed by the East (24.2%), West (22.4%), South (15.3%), and Northeast (8.3%). Among states, Maharashtra holds the highest share at 13%, followed by West Bengal (11.3%), Uttar Pradesh (10%), Bihar (6.2%) and Karnataka (5.7%). Wellness & Nutraceuticals reign supreme, accounting for a staggering 64.15% of total sales, while Cosmetics & Personal Care contribute 23.75% and Household Goods 3.1%. Together, these three segments drive a remarkable 91% of all direct sales, according to the survey.
The report indicates a significant increase in the number of active direct sellers, rising to 88 lakh from 86 lakh in the previous year. Notably, women now constitute 44% of the total direct seller workforce, up from 37% in FY 2022-23, showcasing a growing role of women entrepreneurs in the industry.
Chirag Paswan, while addressing the gathering on the occasion, lauded the direct selling industry for its significant role in providing self-employment opportunities, aligning seamlessly with the government’s vision of more job creation. Emphasizing the importance of high product quality, he reaffirmed the government’s commitment to fostering a business-friendly environment through its various strategic initiatives. He encouraged the industry to adopt good manufacturing practices and capitalize opportunities for sustainable growth. Furthermore, he assured the industry’s stakeholders of his department’s unwavering support, pledging to address concerns regarding the nutraceutical segment and streamline loan processes to help direct selling businesses thrive.
Vivek Katoch, Chairperson, IDSA, said, “The report showcases an encouraging trend for the direct selling industry in the country. The growth trajectory of the industry has been on a surge over the years. A CAGR of 7.15% is a testament to the fact that direct selling businesses in the country have made steady growth and are poised to strengthen further in the years to come on the back of a promising regulatory framework by the government for the industry.”
