Amway wants India to be among top five global markets

"I want India to move to among top five overseas markets of the company in the next five years," Amway chairman Steve Van Andel told the visiting reporters at the company's headquarters.

At present the top five markets of Amway, a direct selling company, include the US, China, Japan, South Korea and Russia with all having sales of over USD 1 billion.
"Let us see, India bumps out which market," Van Andel said while suggesting that India should frame laws for direct selling companies to ensure growth of person-to-person selling of products and also to effectively check fraudulent pyramid schemes.

Having started operations in India in 1998, Amway has about 5 lakh individual business owners. The company which sells over 100 products through individuals recorded sales of Rs 300 crore in 2008.

As regards the investments for expanding business in the country, the Amway chief said the company would make available resources for manufacturing products not only for the Indian consumers but also for other markets.

"We can also look at the possibility of exporting products we make in India to other markets... if it is in the interest of consumers," Van Andel said.

Speaking to reporters, Amway's India head William S Pinckney said lot of investments have already been made in India and the company was in the process of doubling the capacity of its production units, which is likely to be completed by December.

As regards further investment in manufacturing units, he said, "we will look at that later... we also have to see availability of raw material as we keep the quality of our products same in all the markets."

Responding to the criticism that Amway products are expensive and beyond the reach of common man, Van Andel said, "the price they (consumers) pay is a fair price...They get the value for the price they pay."

Referring to the direct selling scheme under which the products are sold by one individual to others, and not through shops, he said, the system has helped about 30 lakh people around the world to earn additional income and live better lives.

On the question of Amway going public and getting its shares listed on bourses, he said the company had discussed the issue earlier also. "As of now there is no such move", he said without ruling out the possibility of transforming Amway into a public limited company in future.