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 Health and Wellness

Area I Animation
Area II Bottled Balut
Area III Healthcare and Wellness
CAR Organic Coffee
Abra Bamboo
Baguio City Information and Communications Technology (ICT)
Benguet Strawberry
Ifugao Tilapia
Kalinga Coffee, Eco-Tourism, Unoy
Apayao Cassava
Mountain Province Eco-cultural Tourism
Region I Bangus or Milk Fish
Ilocos Norte Chichacorn
Ilocos Sur Loomweaving
La Union Home Furnishings
Pangasinan Bangus or Milk Fish
Region II Home Furnishings
Batanes Eco-Tourism
Cagayan Processed Food
Isabela Corn Production and Processing
Nueva Vizcaya Citrus
Quirino Gifts and Holiday Decors
Region III Lanterns
Bataan Processed Fish
Bulacan Specialized Garments (Gowns and Barongs)
Nueva Ecija Footwear (Slippers and Sandals)
Pampanga Lanterns
Tarlac Crochet and Knitting
Zambales Fresh and Processed Sweet Potato
Aurora Sabutan Woven Products
Region IV-A (CALABARZON) Paper Mache
Cavite Ground Coffee
Laguna Paper Mache
Batangas Embroidery
Rizal Houseware and Holiday Décor
Quezon Distilled Coconut Wine
Region IV-B (MIMAROPA) Woven Buntal
Oriental Mindoro Fresh and Processed Fruits
Occidental Mindoro Mariculture and Iodized Salt
Marinduque Loomweaving
Romblon Marble Novelties
Palawan Cashew
Region V Ceramics
Albay Ceramics
Camarines Norte Piña Fiber Products
Camarines Sur Hinabol (Handloom Woven Products)
Sorsogon Pilinut Products
Catanduanes Lasa
Masbate Beef Tapa
Region VI Loomwoven Products
Aklan Loomweaving (Piña, Abaca, Raffia)
Antique Muscovado Sugar
Capiz Cutflower/Cutfoliage
Guimaras Fruits and Nuts
Iloilo Processed Fish
Negros Occidental Silk
Region VII Woven Raffia
Bohol Raffia Loomwovens
Negros Oriental Pandan Bags
Siquijor Tourism
Cebu Footwear
Region VIII Mussel
Leyte Dried Mango
Southern Leyte Processed Food
Samar Mussel Processing
Eastern Samar Seaweeds
Northern Samar Mariculture (Bangus or Milk Fish, Crabs)
Biliran Coco-based Processing (Coco Coir, Coco Shell, VCO and
other high-value Coco by-products)
Region IX Seaweeds
Zamboanga City Seaweeds
Zamboanga del Sur Seaweeds
Zamboanga del Norte Bottled Sardines
Zamboanga Sibugay Rubber
Isabela City Crumb Rubber
Region X Organic Products
Bukidnon High-Value Vegetables
Camiguin Processed Abaca, Lanzones
Misamis Occidental Banana Production and Processing, Watermelon
Misamis Oriental Whitewater Rafting
Lanao del Norte Abaca Production and Processing
Region XI Banana Chips
Davao City Banana Chips
Davao Del Norte Banana Chips
Davao Del Sur Fresh and Processed Mango
Davao Oriental Coconut-based Products
Compostela Valley Gold and Silver Jewelry-Making
Sarangani Mango
Region XII Fresh Banana
General Santos City ICT
North Cotabato Fresh Banana
Sultan Kudarat Muscovado
South Cotabato Fresh and Processed Fruits
Cotabato City Crabs
CARAGA Palm Oil
Agusan Del Norte Abaca Fiber
Agusan Del Sur Oil Palm
Surigao Del Norte Nipa Rum
Surigao Del Sur 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: otopphilippines@dti.gov.ph
Website: http://otopphilippines.org