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2022 shall be a remarkable year for Indian Direct Selling Industry

2022 shall be a remarkable year for Indian Direct Selling Industry

Ministry of Consumer Affairs,Government of India, notifies the Consumer Protection (Direct Selling) Rules,2021 which are to be complied mandatorily by both Direct Selling Entities and Direct Sellers using E-Commerce Platform for Sale within 90 days.
The Centre on 28th December,2021 banned direct selling companies from promoting pyramid & money circulation schemes under Prize Chits and Money Circulation Schemes(Banning) Act,comply with Consumer Protection Act,Information Technology Act,Foods Safety and Standards Authority of India Act,Drugs and Cosmetics Act,Companies Act,Partnership Act,Limited Liability Partnership Act,Company Secretaries Act,Legal Metrology Act,Legal Metrology (Packaged Commodities) Rules,National Consumer Helpline,Consumer Protection(E-Commerce)Rules and Reserve Bank of India Act.
Direct Selling Today,India’s first direct selling trade publication under the guiding light of Chief Editor Mr. Rahul Sudan has been making efforts to educate and inform our readers with the latest updates for Indian Direct Selling Industry.He strongly feels that “the Direct Selling Rules,2021 has provided an ambiguous outlook for Direct Selling Companies where it’s a wait and watch situation till the State Ministries of Consumer Affairs adopt the Rules by establishing their monitoring mechanisms”.
The official sources stress on heavy penal provisions under the act if the rules are not complied with.Direct Selling Entities are liable for grievances out of sale of goods & services by its direct sellers.Not only all models of direct selling are applicable but also those direct selling companies that are not established in India but offer their goods & services to consumers here.
Award winning Compliance & Direct Selling Consultancy Firm Piplbyte Infotech,handled by Mr. Puuneet Jadwani who firmly expresses “the importance of Legal Metrology Registration mandatory for every Direct Selling Entity not only on their packaged goods but also on their website which is being promoted by their Direct Sellers”.
Direct Selling Entities to revisit their grievance redressal mechanism,marketing material,website and various agreements which are the main business tools for any direct seller to promote the business of Direct Selling.State Governments shall set up monitory mechanisms to supervise the activities of direct sellers and direct selling entities.

By TIS Staffer
the authorBy TIS Staffer

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