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MLM forum to set up Indian arm soon

Vinson Kurian

Thiruvananthapuram , May 30

THE US-based Multi Level Marketing International Association (MLMIA) will soon have an Indian affiliate that will look at galvanising all non-IDSA (Indian Direct Selling Association) members under a single banner.

Mr N. Khanagendrran, President and Chief Executive Officer of Chennai-based Conybio Healthcare (India), will be the President of the new affiliate and will hold office for a minimum of three years.

Speaking to Business Line here, Mr Khanagendrran said he would soon set up an office of the Indian affiliate in Chennai. "The intention is to bring all good companies doing business on strictly ethical grounds - all genuine players who find themselves otherwise unrepresented on a common platform."

The so-called `pyramid' and `chain' players would not be entertained. To make it doubly sure, MLMIA-India will set up a screening committee which will be headed by the Conybio chief himself. "We're not going to reject entries just for the heck of it. The decision will be enforced after studying the nature of business being followed," he said.

In the US, there are two groupings of the directing selling players. One is the Direct Selling Association (DSA) and the other, the MLMIA. The latter has been in existence for the last 20 years.

Asked about the projected strength of the Indian affiliate, he said he welcomed all genuine players. "I propose to start with at least 50, and raise the number to 300 during the first three years. We're going to have three types of memberships. One is distributor-members. Any distributor can become member of MLMIA.

"Another is corporate membership for companies dealing in network marketing or direct selling. It is open for direct sales/multi-level/network marketing companies. The third is the support membership for companies that sell products/services to the industry. Even suppliers of software and hardware can become members.

"We hope to be able to exchange ideas, and form a collective front that is able to do something for the good of the industry in general. After all, it is a revenue earner for the Government and a proven job and wealth creator."

According to Mr Khanagendrran, it is high time the Government made the initiative to legalise the industry. In the process of doing so, it should seek to throw out all unethical players to save the industry the blushes.

The industry is a mass job creator. Most of the Conybio distributors have been unemployed graduates. They are now able to raise incomes ranging from Rs 5,000 to Rs 30,000. There are also instances of annual revenues crossing Rs 6 lakh.

"Conybio contributes Rs 1 crore to the exchequer in various taxes, excise and duties on a monthly basis. In the Chennai circle, we are among the highest sales tax and income-tax assessees," Mr Khanagendrran said.

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