DTI ONE TOWN ONE PRODUCT (OTOP) PHILIPPINES (source: Department of Trade and Industry)
The One Town, One Product (OTOP-Philippines) is a priority program of the government to promote entrepreneurship and create jobs. Through OTOP, local chief executives of each city and municipality take the lead in identifying, developing, and promoting a specific product or service, which has a competitive advantage. OTOP-Philippines supports micro, small, and medium enterprises (MSMEs) to manufacture, offer, and market distinctive products or services through the use of indigenous raw materials and local skills and talents. Features OTOP-Philippines offers a comprehensive assistance package through a convergence of services from local government units (LGUs), national government agencies (NGAs), and the private sector. This includes:
Business counselling Appropriate technologies Skills and entrepreneurial training Marketing Product designs and development
The Medium-Term Philippine Development Plan (MTPDP) 2004-2010 outlines the dual strategies of product development through OTOP-Philippines and credit provision through SME Unified Lending Opportunities for National Growth (SULONG) to support 3 million entrepreneurs and generate 6-10 million jobs. One Town One Product (OTOP) Program The OTOP is a priority program of President Gloria Macapagal-Arroyo to promote entrepreneurship and create jobs, OTOP-Philippines encourages the country’s MSMEs to produce and market distinct products or services using indigenous raw materials and manpower. OTOP Assistance Package includes: • Business Counseling; • Skills and Entrepreneurial Training; • Product Design and Development; • Appropriate Technologies; and, • Marketing. Model/Priority OTOPs: NCR Area I Area II Area III CAR Abra Baguio City Benguet Ifugao
Health and Wellness Animation Bottled Balut Healthcare and Wellness Organic Coffee Bamboo Information and Communications Technology (ICT) Strawberry Tilapia
Kalinga Apayao Mountain Province Region I Ilocos Norte Ilocos Sur La Union Pangasinan Region II Batanes Cagayan Isabela Nueva Vizcaya Quirino Region III Bataan Bulacan Nueva Ecija Pampanga Tarlac Zambales Aurora Region IV-A (CALABARZON) Cavite Laguna Batangas Rizal Quezon Region IV-B (MIMAROPA) Oriental Mindoro Occidental Mindoro Marinduque Romblon Palawan Region V Albay Camarines Norte Camarines Sur Sorsogon Catanduanes Masbate Beef Region VI Aklan Antique Capiz Guimaras Iloilo Negros Region VII Bohol Raffia Negros Oriental Siquijor Cebu
Coffee, Eco-Tourism, Unoy Cassava Eco-cultural Tourism Bangus or Milk Fish Chichacorn Loomweaving Home Furnishings Bangus or Milk Fish Home Furnishings Eco-Tourism Processed Food Corn Production and Processing Citrus Gifts and Holiday Decors Lanterns Processed Fish Specialized Garments (Gowns and Barongs) Footwear (Slippers and Sandals) Lanterns Crochet and Knitting Fresh and Processed Sweet Potato Sabutan Woven Products Paper Mache Ground Coffee Paper Mache Embroidery Houseware and Holiday Décor Distilled Coconut Wine Woven Buntal Fresh and Processed Fruits Mariculture and Iodized Salt Loomweaving Marble Novelties Cashew Ceramics Ceramics Piña Fiber Products Hinabol (Handloom Woven Products) Pilinut Products Lasa Tapa Loomwoven Products Loomweaving (Piña, Abaca, Raffia) Muscovado Sugar Cutflower/Cutfoliage Fruits and Nuts Processed Fish Occidental Silk Woven Raffia Loomwovens Pandan Bags Tourism Footwear
Region VIII Leyte Southern Leyte Samar Mussel Eastern Samar Northern Samar Biliran Region IX Zamboanga City Zamboanga del Sur Zamboanga del Norte Zamboanga Sibugay Isabela City Region X Bukidnon Camiguin Misamis Occidental Misamis Oriental Lanao del Norte Abaca Region XI Davao City Davao Del Norte Davao Del Sur Davao Oriental Compostela Valley Sarangani Region XII General Santos City North Cotabato Sultan Kudarat South Cotabato Cotabato City CARAGA Agusan Del Norte Agusan Del Sur Surigao Del Norte Surigao Del Sur
Mussel Dried Mango Processed Food Processing Seaweeds Mariculture (Bangus or Milk Fish, Crabs) Coco-based Processing (Coco Coir, Coco Shell, VCO and other high-value Coco by-products) Seaweeds Seaweeds Seaweeds Bottled Sardines Rubber Crumb Rubber Organic Products High-Value Vegetables Processed Abaca, Lanzones Banana Production and Processing, Watermelon Whitewater Rafting Production and Processing Banana Chips Banana Chips Banana Chips Fresh and Processed Mango Coconut-based Products Gold and Silver Jewelry-Making Mango Fresh Banana ICT Fresh Banana Muscovado Fresh and Processed Fruits Crabs Palm Oil Abaca Fiber Oil Palm Nipa Rum Seaweeds
Activities in More Developed Provinces Trade/Investment Promotion (conduct of local/international/study/trade/investment missions) • Productivity Improvement (conduct of productivity training/benchmarking) • Business Matching Activities How to avail yourself of these services: Interested parties may call, write, e-mail, or visit the nearest DTI Regional or Provincial office (see www.dti.gov.ph ).
The abundance of local raw materials and inherent skills and culture of each town and municipality in the Philippines presents varied opportunities for investors who wish to
establish businesses in areas other than Metro Manila or highly urbanized cities. Investing in different provinces and regions is one strategy, which can help promote the growth of the countryside, minimize production and transportation expenses, and decongest the high density urban cities, especially Metro Manila. The Department of Trade and Industry recently launched the “One Town One Product (OTOP) Program”, to encourage the growth of micro, small, and medium enterprises (MSMEs) in the countryside through the development of indigenous raw materials, and local skills and talents. Through OTOP, local chief executives take the lead in the identification, development, and promotion of a specific product or service over which a particular Philippine town has a competitive advantage in terms of job and income generation.
Assistance Provided to OTOP Entrepreneurs OTOP Philippines offers a comprehensive assistance package for MSMEs who would like to engage in the development of OTOP industries through a convergence of services offered by local government units (LGUs), national government agencies (NGAs), and the private sector. The package includes, among others, the following:
Business counseling Skills and entrepreneurial training Product design and development Appropriate technologies Marketing
The Medium-Term Philippine Development Plan (MTPDP) 2004-2010 outlines the dual strategies of product development through OTOP and credit provision through SULONG (SME Unified Lending Opportunities for National Growth) to support 3 million entrepreneurs and generate 6 to 10 million jobs. Agencies that Provide Support to the OTOP Program Local government units (LGUs) play a major role in the success of OTOP Philippines. Apart from ensuring an environment that is conducive for business, local leaders are expected to motivate their constituents and consolidate their human and natural resources, to produce and sell locally and globally competitive products and services. With the LGUs as the lead implementers of OTOP-Philippines, the following government agencies can be tapped for various assistance:
DTI Provincial and Regional Offices
Technical Education and Skills Development Authority OTOP Philippines is supported by the Technical Education and Skills Development Authority (TESDA) through TESDA's Dangal ng Barangay Program which seeks to develop every barangay's product throughout the country, which could eventually graduate to an OTOP Product. OTOP Accredited Products will be given priority in TESDA's training programs related on enterprise development.
National Livelihood Support Fund
The National Livelihood Support Fund (NLSF) supports OTOP entrepreneurs by providing a special financing window through its accredited conduits and cooperates with DTI in conducting capability-building interventions for OTOP MSMEs.
Department of Science and Technology The Department of Science and Technology supports OTOP Philippines through its Packaging Research and Development Center to assist in the packaging and labeling of OTOP products particularly for food and beverages, to reach international packaging standards.
National Economic Development Authority The National Economic Development Authority supports OTOP Philippines by providing support for OTOP Agricultural Products for Agribusiness.
For more information about the OTOP Program, please contact: OTOP Program Management Office Department of Trade and Industry G/F New Solid Building, 357 Sen. Gil Puyat Avenue, Makati City Tel. Nos. (632) 890-4684 / 890-4697 Fax No. (632) 895-3582 E-mail:
[email protected] Website: http://otopphilippines.org
