Amway has applauded The Indian Consumer Affairs Ministry decision to implement guidelines in a bid to regulate the growing direct sales industry.
The new regulations will bar companies from charging agents an entry fee on their products and deny them from forcing the agents to buy back the products. Protecting thousands of direct sales agents, the new guidelines will also have to allow full buy back and or refund guarantee for any goods they purchase.
Agents will now be protected from pyramid schemes, something the big companies want to distance themselves from. “Amway are enthusiastic about the guidelines because it helps the public to easily differentiate between genuine income opportunities and fraud. Devices such as no entry fees, generous product return policies, etc have long been instituted by Amway in India. We appreciate the work of the Central Government in this important matter,” said Nick Wasmiller, PR lead, Global Media Relations for Amway.
Once the legislation is in place, the companies will have 90 days to comply with the new guidelines.
With the Indian direct sales market experiencing a surge in popularity, the news will no doubt be welcomed by agents and enable further regulated growth for the industry.