OTOP program assisted 80,000 MSMEs – DTI

MANILA, Philippines — The Department of Trade and Industry (DTI)’s One Town, One Product (OTOP) program has generated P10.9 million in sales and assisted nearly 80,000 micro, small and medium enterprises (MSMEs) since 2017.

In a statement, the DTI said from 2017 to 2023, OTOP Philippines has already assisted 79,985 MSMEs, developed 39,815 products, and conducted 1,390 trade fairs.

“MSMEs were mainly assisted in the form of standards compliance, product development, capacity building, and promotional activities,”the DTI said.

OTOP is a priority stimulus program of the DTI for MSMEs. It aims to drive inclusive local economic development by enabling localities and communities to determine, develop, support, and promote products and services that are deeply rooted from their cultural identity and comparative advantage

The DTI said 111 OTOP Hubs were also established during the period. Of these, 52 are located in Luzon, 18 in Visayas and 41 in Mindanao.

OTOP Philippines hubs serve as a platform for the country’s MSMEs to showcase and sell their products and services to the local and international market.

“Since we aim to introduce Filipino-made products in the international market, we also want to assist MSMEs in terms of standards and market compliance. We aim to preserve the OTOP brand as a mark of excellence and for that to happen, Filipino entrepreneurs must be capacitated in observing various standards and requirements,”Trade Secretary Alfredo Pascual said.

“We need to make our products export quality, and this is where the DTI-Bureau of Philippine Standards comes in. They oversee the establishment of standards that will increase the competitiveness of our products,”he added.

Pascual expressed gratitude to the Senate for passing Senate Bill 1594 also known as OTOP Philippines Act of 2022, which facilitates the institutionalization of OTOP as a program that aims to drive inclusive economic growth by supporting MSMEs.

Acknowledging the significant contribution of MSMEs toward economic growth and development, OTOP Philippines Act of 2022 warrants the provision of assistance for MSMEs to develop new, innovative, and more complex products with significant improvement in the areas of quality, product development, design, packaging, standards and regulatory compliance, marketability, production capability, and brand development.

Likewise, rural communities will be given assistance to foster local economic development by creating higher quality and innovative products. Furthermore, the act shall promote the convergence of initiatives from local government units (LGUs), national government agencies (NGAs), and the private sector in developing and promoting Filipino-made products that can compete in the local and international market.

Through the OTOP Philippines Act of 2022, the DTI is likewise authorized to establish the OTOP Philippines Trustmark, an assurance that products under the OTOP Program represent the country’s best and that these have been marked as excellent in terms of quality, design, value, and marketability.

The OTOP Philippines Program covers products that are known to an area or locality and those that are ingrained in the community’s cultural identity such as processed foods, agricultural-based products, home and fashion and creative artisanal products, and arts and crafts.