Miss Lovely will generally upset many people - for the simple reason that it sets up lots of genres/ premises - and unsuspectingly dumps them to move onto something entirely unexpected. As others have written, this is NOT the Indian boogie nights or whatever was imagined of it - it is, in essence, an experimental pulp film (if such a thing exists). This film is a deconstruction of genre (as i saw it anyway), and this becomes apparent when you see how it switches from noir/ thriller to romance film (part of the theme of the film itself) and takes documentary, porn, horror and musical in it's wide cinematic stride exploding/merging all of the above.
Clearly more than tell a straight story, director Ashim Ahluwalia is devoted to questioning, analyzing, critiquing and (at times) upsetting social & filmic conventions here.
Working outside of the 'Bollywood' industry, Ahluwalia explores a number of ideas rarely seen in Indian cinema: social outcasts as (tragically heroic) protagonists, uninhibited sexuality, changing roles of women in society and the critique of (or deconstruction of) social structures and assumptions. Sonu & Vicky Duggal clearly represent a new form of rebellion (they are clearly anti-state, anti-film industry, "criminal filmmakers" if you will), and therefore give domestic and international audiences a glimpse into lives that would otherwise likely escape cinematic exploration.
Having seen a fair amount of contemporary Indian cinema, Ahluwalia appears like one of the few true innovators within this nascent movement, and is - for this reason - one of its primary players, explaining interest from Cannes & Toronto.