Peru (Updated April 2025)

1. General Information

Peru does not have legislation regulating the Direct Selling industry. Direct selling companies have a duty of suitability with the end customer. In other words, there must be a correspondence between what consumers expect and receive. Companies must comply with the offers, such as the contracted product’s quality, use, duration, content, and other characteristics.

1. Cooling-off Period

Article 28 from the Consumer Protection and Defense Code refers to suppliers’ measures to eliminate or reduce unforeseen hazards. If products or services are placed on the market, in which the existence of unforeseen risks is subsequently detected previously or unpredictably, the supplier is obliged to take reasonable measures to eliminate or reduce the danger in the immediate term; among them, notify the competent authorities of this circumstance, withdraw the products or services, arrange their replacement or repair, and inform consumers, as soon as possible, about the warnings. The supplier assumes the proof of the measures taken.

Article 29 from the Consumer Protection and Defense Code refers to the applicable risk and hazard information and warnings criteria. The warning of the risks and dangers that typically have specific products or services, or about the risks and dangers not foreseen or unpredictable detected after the placement of the products or the provision of services in the market, must be carried out in compliance with the following criteria:

1. The warning must be disseminated with due speed. The notices must be issued within a reasonable period according to the severity of the risk or danger involved. In the case of severe damage to consumers’ lives or health, the warnings must be disseminated immediately, as soon as there are indications to assume the existence of the danger.
2. A warning heading or signal appropriate to the warned hazard or danger should be used. The title, which is intended to attract the consumer’s attention, should be adequate so that, without unnecessary alarm, it should attract sufficient attention concerning the magnitude of the risk to the segment of the affected population and allow interested parties to identify the importance of the warning for those cases.
3. The warning size and frequency must be adequate. The supplier uses, as a first option, individual communication channels with the potentially affected consumer. If it is not possible to communicate individually with the consumer who purchased the product or service, the supplier resorts to mass media of national scope. The media to be used are established in the corresponding regulations. The dimensions of the warning and the frequency with which it is made, in the event that the warning is made by mass media, must allow the information to reach the affected or potentially affected consumers.
4. The risk or danger nature that is warned must be specified, indicating whether said risk affects the life or health of the consumer, their property, or the loss or affectation of the product purchased.
5. Accessible and understandable language should be used by a consumer who acts with ordinary diligence according to the circumstances of the case. Therefore, the use of excessively technical or scientific language should be discarded, using, on the other hand, terms that allow the consumer to understand what are the risks or dangers that are warned.

The level of certainty surrounding the foreseeable risk or danger must be described. If the risk is only potential or there is no absolute certainty of the risk, this must be indicated in the notice or warning, and in these cases conditional expressions may be used. By contrast, if it is a true and precise risk, a language that makes the consumer understand it must be used.

1. The measures taken to avoid the risk or damage or to mitigate the effects that may occur must be explained. The warning should, if possible, indicate how to correct these problems in a clear and straightforward way.
2. The measures taken to avoid the risk or damage or to mitigate the effects that may occur should be explained. The warning should, if possible, point out how to correct these problems in a clear and simple manner.
3. Alternative sources of information should be included, which are free and easily accessible to consumers, in order to be able to have more information on the warnings of the risks and dangers of the product. Such information should also be immediately communicated to Indecopi (National Institute for the Defense of Competition and Intellectual Property).

• Pyramid Schemes

Article 11 of the General Law of the Financial System and Insurance System prohibits and sanctions the activity of raising money outside the authorization of The Superintendency of Banking, Insurance and Pension Fund Management (SBS). Paragraph 1 of said article states, “Any person who operates under the framework of this law requires prior authorization from the Superintendence in accordance with the regulations established in this law. Consequently, individuals who lack this authorization cannot:

Engage in financial system companies’ business, particularly in regularly collecting or receiving money from third parties, in deposit, mutual, or any other form, and habitually place such resources in the form of credits, investment, or authorization of funds, under any contractual modality”.

For its part, Article 351 empowers the SBS to close the premises where this informal activity occurs, indicating the following: “The Superintendent must order the immediate closure of the premises in which unauthorized operations are carried out following this law, with the intervention of the Public Ministry. He will also call for the seizure of the documentation found in them, for which he is empowered to demand the support of the public force directly. The exercise of this power does not generate any responsibility for the superintendent. Whoever disregards the requirement referred to in the previous paragraph is guilty of the crime of abuse of authority provided for in the first paragraph of Article 378 of the Penal Code.

Additionally, the superintendent will formulate the corresponding complaint to promote criminal action against offenders, a process in which the superintendent will be considered aggrieved. Therefore, it is up to him to constitute himself as a civil party and offer the necessary evidence to clarify the crime.

 

1. Multi–Level Marketing

No specific legislation exists, although the articles previously explained that Pyramid Schemes apply.

 

1. Prohibition on Products

Peru does not have exclusive legislation for the products and services for Direct Selling.

However, the commercialization of antibacterial soaps containing triclosan and triclocarban in limits higher than those allowed by the General Directorate of Medicines, Supplies, and Drugs (Digemid) has been prohibited in Peru since October 9, 2017, in this regard:

– Triclosan: can be used as a preservative at a maximum concentration of 0.3%.

– Triclocarban: It can be used as a preservative with a maximum concentration of 0.2% and only up to 1.5% when the cosmetic product that contains it is removed with water”.

The General Directorate of Medicines, Supplies and Drugs – Digemid, is the authority responsible, among other aspects, for supervising the sale of health products, following the Law on Pharmaceutical Products, Medical Devices and Health Products (Law 29459).

Likewise, trading cosmetic products containing long-chain parabens such as isopropyl paraben, isobutyl paraben, phenyl paraben, benzyl paraben and pentyl paraben has been banned in Peru since February 14, 2017.

Transversally, there is progress in legislation that regulates single-use plastic and disposable containers or packaging, as well as the progressive reduction of polymer-based bags (Law 30884). Those included in article 4 are excepted, such as:

“4.1 Polymeric-based bags to contain and transfer bulk foods or foods of animal origin, as well as those that for asepsis or safety are used to manage processed or pre-processed food or wet inputs, per the applicable regulations.

4.2 Polymeric-based bags when their use is necessary for reasons of cleanliness, hygiene, or health, by the applicable regulations.

4.3 Polymer-based straws (straws, straws, or straws) that are used for medical necessity in establishments that provide medical services, those that are necessary for people with disabilities and the elderly, and polymer-based straws that are part of a product as a unit of sale and can be recycled with the commercialized packaging”.

Although it’s not a prohibition, according to law N° 30021 and concordant regulations, several products (processed foods and non-alcoholic beverages) have advertising warnings in the form of octagons on labels and advertising disseminated through various media. Octagons in product advertising are mandatory for processed foods whose sodium, sugar, saturated fat, and trans-fat content exceed the technical parameters established in the Healthy Eating Guidelines. Congress also passed a law adding gluten-free products to the labeling list.

Additionally, Congress approved Law N° 31919, which amends Law N° 30021, requiring that octagonal warning labels be permanently printed on products. However, for imported products or those sold by micro and small enterprises (MSEs), a permanent label is not mandatory. Instead, they must use stickers that are difficult to remove.

 

1. Credit Restrictions Country

There is no specific legislation.

 

• Money Collections

The Superintendency of Banking, Insurance, and Pension Fund Management regulates and supervises the Financial System, Insurance, and Private Pension System.

Mission: “Protect the interests of the public, ensuring the stability, solvency, and transparency of the supervised systems, as well as promoting greater financial inclusion and contributing to the system of prevention and detection of money laundering and terrorist financing.”

• Licenses

There are no registration/license requirements for independent entrepreneurs.

 

1. Status of Direct Sellers

The relationship between direct selling companies and independent entrepreneurs is commercial/contractual and non-labor, so:

Independent entrepreneurs do not act under orders or directives of direct selling companies. There is no subordination relationship. They, as independent entrepreneurs, manage their business as they consider appropriate according to their needs.

It is also important to mention that some Direct Selling companies help some independent entrepreneurs to build their businesses. In this case, the existing contractual relationship is with the companies of independent entrepreneurs.

 

1. Earnings Claims

Since there is no Direct Selling law, Peruvian laws would apply in case there is a commercial, civil relationship.

CAPEVEDI (Peruvian Chamber of Direct Sale), through the Code of Ethics Administrator, processes claims that the companies have not resolved. The attention to consumer complaints will be free.

The Consumer Protection and Defense Code regulates claims as follows:

“Article 24.- Claims service

24.1 Without prejudice to the right of consumers to initiate the corresponding actions before the competent authorities, suppliers are obliged to attend to the claims presented by their consumers and respond to them within a term no longer than fifteen (15) non-extendable working days.

24.2 In the event that the provider has a complaint service line or some other electronic or similar means for that purpose, it must be ensured that the attention is timely and that it does not become an obstacle to the claim before the company.

24.3 The attention for consumer or user claims cannot be conditioned on the prior payment of the product or service subject to said claim or the amount that would have caused it, or any other fee.”

 

1. Taxes

In July 2024, Congress enacted Law 32080, eliminating the obligation to include the Taxpayers’ Unique Registry Number (RUC) and the company name in advertising disseminated on social networks. As a result, whoever sells products through social networks is no longer obliged to make this information public when promoting products or services. Likewise, the penalties associated with the omission of the RUC in these advertisements were eliminated.

• Social Security Taxes

There is no legislation. Independent entrepreneurs are not considered employees.

 

• Others

Congress has presented and revised the following bills relevant to the industry. These are still pending for debate on the Plenary Session in Congress:

• Bill 9115 aims to repeal Legislative Decree No. 1623, which amended the tax law on digital services and intangible goods imported via the internet
• ​In August 2024, Peru enacted Legislative Decree No. 1623, introducing an 18% Value Added Tax (VAT) on digital services provided by non-resident entities and on the importation of intangible goods through the internet. This decree requires foreign digital service providers to register with the Peruvian tax authority (SUNAT), obtain a local tax identification number (RUC), and act as VAT collection agents. Services affected include streaming platforms, cloud storage, and online marketplaces. ​
• However, in October 2024, the Peruvian Congress began considering Bill No. 09115/2024-CR, which proposes repealing Legislative Decree No. 1623. The bill aims to reverse the amendments made to the General Sales Tax and Selective Consumption Tax Law concerning the use of digital services and the importation of intangible goods via the internet. The outcome of this legislative proposal will determine the future tax obligations of non-resident digital service providers operating in Peru. ​
• As of now, Legislative Decree No. 1623 remains in effect, and non-resident digital service providers are required to comply with its provisions until any legislative changes are officially enacted.
• Bill 5851 Law on the rights of members of collective funds
• ​Bill No. 5851 proposes the incorporation of Chapter VII: Collective Funds into Title IV of the Consumer Protection and Defense Code in Peru. This addition aims to safeguard the rights of members participating in collective funds by ensuring that insurance policies, when applicable, are contracted independently and at the free discretion of the member. The initiative seeks to enhance consumer protection within financial mechanisms, aligning with Peru’s ongoing efforts to strengthen its consumer protection framework. ​
• Bill 6814 law that proposes to repeal law n° 27821, law on the promotion of nutritional supplements for alternative development
• The bill aims to repeal Law No. 27821, the Law on the Promotion of Nutritional Supplements for Alternative Development, as it is deemed irrelevant, ineffective in practice, and a source of overregulation. The proposed initiative asserts that the regulation primarily concerns the promotion of the production, processing, and commercialization of plants traditionally used for health conservation, a matter already overseen by DIGESA.
• Bill 8295 law that promotes and encourages the labor market insertion of older adults

The bill proposes to encourage the reinsertion of adults over 60 years of age into the labor market. It indicates that companies that hire them will receive income tax deductions, according to the percentage determined by the Ministry of Economy and Finance. In addition, companies will have to provide education and training, and adapt jobs to the needs of older adults.

• Bill 6461 law amending law No. 30021, law for the promotion of healthy eating for children and teenagers

The bill aims to strengthen healthy eating, labeling without exception the warning of octagons “high in”, including those products whose front or main face of the label has an area of less than 50cm2.

• Bill 6136 Digital Economy Law

The bill establishes a regulatory framework for the provision of services through digital channels. It also provides that the State will promote investment in the development and expansion of digital infrastructure, especially in rural and low-income areas, through partnerships with the private sector.

• Bill 3541 that seeks to modify the Consumer Protection Code on spam calls

The bill seeks to enable consumers to accept commercial calls consciously and unequivocally. Therefore, the commercial practice is sanctioned when these are not requested in the first place.

• Bill 2753 that implements the use of the Braille system in packaging.

This is expected to be applied to household products, food, cosmetics, pesticides, toiletries, and medical products, as well as in public places such as supermarkets, tourist services, public libraries, and others.