PROJECT PROPOSAL

I. PROJECT TITLE
Marketing and Benchmarking Activities of OTOP Laguna

II. EXECUTING OFFICE

Department of Trade and Industry - Laguna Provincial Office

III. PROJECT DESCRIPTION

The One Town, One Product (OTOP) is a flagship program of the Philippine
government for the micro, small, and medium enterprises (MSMEs) in stimulating
inclusive economic growth. It aims to level up the products and services of the
MSMEs by providing assistances in the areas of product design, quality, production,
and marketability. OTOP Ph also advocates in promoting the “Pride of Place” and
“Cultural Value” of municipalities which will contribute in increasing the market-
responsiveness of products. Moreover, it also targets to create new products and
new brands that can penetrate and dictate how the market moves.

The OTOP Philippines Hub or OTOP.PH is an establishment where products from

the OTOP Program are showcased. It is a one-stop retail shop where buyers and
tourists can find and choose among a wide variety of market-ready and quality OTOP
products. This also serves as a marketing vehicle and platform to promote and
champion OTOP products. In the OTOP Ph Hub, quality is of utmost importance. The
OTOP products that are showcased in the hubs are also compliant to standards,
including Food and Drug Administration (FDA) permits.

The establishment of OTOP Ph Hub in Laguna will be a partnership among the

Department of Trade and Industry – Laguna Provincial Office (DTI Laguna), the Local
Government Unit of Santa Rosa City, Laguna (Santa Rosa City LGU), and the Santa
Rosa City Employees Multipurpose Cooperative as the private operator.

The proposed OTOP Hub Ph will be located in Santa Rosa City, also known as the
“Lion City of the South”. Santa Rosa City is another 1st class component city in
Laguna. It has a fast-growing economy where MSMEs are also prevalent. Santa
Rosa City is bounded by the province of Cavite in the south. It is an ideal and
strategic place since it also has an easy access to Metro Manila thru the South Luzon
Expressway (SLEX), the Manila South Road, and the Philippine National Railroad
(PNR) south line. Santa Rosa City is also one of the go-to places in the south of
Metro Manila for investment and tourism.

The proposed private operator for the OTOP Ph Hub Santa Rosa City is the Santa
Rosa City Employees Multipurpose Cooperative (SRCEMPC). SRCEMPC is a
multipurpose cooperative, registered under the Cooperative Development Authority
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 with Registration Number: 9520-04010023 in the province of Laguna. They are
composed of the employees of the City Government of Santa Rosa who are looking
forward to create income generating opportunities for their members.

Aside from product promotion assistance through the establishment of OTOP Ph

Hub, a benchmarking mission will also be conducted to further assist Laguna OTOP
beneficiaries and other MSMEs. Benchmarking is one of the activities that DTI-
Laguna conducts to further assist MSMEs and contribute in their product and brand
development, market expansion, and supply-value chain.

DTI-Laguna, through the OTOP Next Gen Program, and in partnership with DTI
Region 4A – CALABARZON, DTI Aklan Provincial Office (DTI Aklan), Department of
Science and Technology (DOST) 4A – CALABARZON, DOST Laguna, Provincial
Governments of Laguna and Aklan, and Local Governments of Cabuyao City and
Lumban, Laguna, will conduct a benchmarking mission in the Province of Aklan on
December 1-5, 2021. This benchmarking mission will also supplement another DTI
Laguna’s initiative program, #BURDA (Building, Upscaling, and Reviving the Diverse
Artisanal Culture of Embroidery in Laguna).

The Piña cloth, also known as the “Queen of the Philippines Fabrics”, is a prime
produce of Kalibo, Aklan. Aklan has been championing the industry of weaving piña
using their unique crude wooden or bamboo handloom dating back to eight centuries
ago. The benchmarking mission aims to find companies/institutions with best
practices on innovative adaptation of fiber raw materials which can be replicated by
the MSMEs of Laguna and other provinces in CALABARZON. In addition, the
benchmarking mission aims to supplement and support the supply-value chain
activities of MSMEs.

IV. OBJECTIVES

1. To showcase the various products developed under the OTOP Next

Generation Product Development Project through the Assessment,
Consultation, and Triage (ACT) sessions;
2. To provide market access to our MSMEs who have undergone OTOP
Product Development Phase;
3. To serve as a conducive venue where OTOPreneurs can negotiate
potential partnerships and collaborations with other MSMEs and
institutional buyers;
4. To use the information gathered for establishing the piña fiber industry in
Cabuyao City and Lumban, Laguna;
5. To determine and adopt the best practices by the piña weavers to
supplement and improve the embroidery industry in Lumban, Laguna;

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V. TARGET BENEFICIARIES

The target beneficiaries of the OTOP Ph Hub Santa Rosa City establishment will be
the general mainstream market of both local buyers and tourists. The existing Laguna
OTOPreneurs are also the target beneficiaries. The OTOP Ph Hub Santa Rosa City
will provide a platform to showcase their products to a bigger market audience. Also,
the partner LGUs can benefit from this project since the OTOP products promote the
“Pride of Place” and “Cultural Value” of Laguna.

The target participants for the benchmarking mission are the Key Officials and
Technical/Project Support Staff from DTI-CALABARZON (1), DTI-Laguna (8),
DOST-CALABARZON (5), Provincial Government of Laguna (5), LGU Lumban (3),
and LGU Cabuyao City.

VI. STRATEGY/IMPLEMENTATION SCHEME

The establishment of the OTOP Ph Hub Santa Rosa City will be in partnership with
the local government of Santa Rosa City, and SRCEMPC. The Santa Rosa City LGU
will provide a strategic location where the market-ready OTOP products are
showcased and sold. During the 3rd quarter of 2021, coordination meetings will be
held with the respective LGU, from planning and up to finalizing the partnership
details of the OTOP Philippines Hub.

DTI Laguna will be in charge of the application and screening process for the
potential OTOP Ph Hub suppliers. This is to ensure that the OTOP products that will
be showcased and sold are of utmost quality and are compliant to standards,
including FDA – License to Operate (LTO).

Once established, the OTOP Ph Hub will operate from Monday to Friday. The private
operator, SRCEMPC, and the Santa Rosa City LGU will dedicate a staff to oversee
the operations and ensure compliance to minimum health and safety protocols. Also,
a designated DTI Laguna staff will check and inspect the area from time to time to
ensure the smooth operation. Also, the designated DTI staff will monitor the monthly
sales and the operations for continuous improvement and possible partnerships.

DTI Laguna, together with the cooperating agencies will conduct a benchmarking
mission at Aklan. All personnel from DTI Laguna, including agency partners who will
be participating in this benchmarking mission are fully vaccinated. DTI Laguna also
commits to comply with the minimum health standards and protocols imposed by
Aklan and will be equipped with safety kits (spare face masks, face shields, alcohol,
disinfectant spray, oximeter, and thermometer). As of 12 November 2021, and by
virtue of the Executive Order No. 028 Series of 2021 issued by the Provincial
Government of Aklan, the entire province is classified under Alert Level 2, except for
areas with granular lockdowns. In the event that the alert level of the province
becomes more restrictive, the benchmarking activity will automatically be postponed.

Upon arrival, DTI Laguna will conduct a courtesy visit to DTI Aklan. A total of five (5)
companies will be visited for benchmarking of the fiber industry. The companies to be
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 visited are the ones identified by DTI Aklan for this benchmarking mission. During the
benchmarking mission, DTI Laguna, together with the cooperating agencies, will be
travelling via a rental van as recommended by DTI Aklan.

VII. EXPECTED OUTPUTS AND OUTCOMES

The OTOP Ph Hub Santa Rosa City is expected to be established and operational by
the 4th quarter of 2021.

The OTOP Ph Hub Santa Rosa City will be a one-stop shop that promote quality
OTOP products. The hub will help the OTOPreneurs in marketing their products and
expanding their networks.

The benchmarking mission is expected to be conducted on 1-5 December 2021.

Through this activity, DTI Laguna will be able to complete the value chain for
pineapple fiber and embroidery industry, in partnership with DOST and the LGUs.

VIII. SPECIFIC DATE OF IMPLEMENTATION AND LOCATION

Activity Target Date

rd
Coordination with LGU for the OTOP Hub and 3 Quarter, 2021
Benchmarking Activity
Benchmarking Activity at Aklan 1-5 December 2021
Signing of Memorandum of Agreement 4th Quarter, 2021
Call for OTOP Ph Hub Suppliers 4th Quarter, 2021
Establishment of OTOP Ph Hub Santa Rosa City 4th Quarter, 2021
Launching of OTOP Ph Hub Santa Rosa City 4th Quarter, 2021

IX. FUND REQUIREMENT

Particulars Amount
Establishment and Marketing Activities of OTOP Ph
Hub Santa Rosa City
- refurbishment of space allotted for OTOP Ph Php 70,000.00
Hub Santa Rosa City
- fabrication of counter, shelves, gondolas, Php 55,000.00
clothing racks
- panaflex and acrylic signages Php25,000.00
- launching of OTOP Ph Hub Santa Rosa City Php25,000.00
- promotion of OTOP Ph Hub Santa Rosa City and Php5,000.00
OTOP products
- market matching and product presentations Php 10,000.00
- market scanning Php 10,000.00

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 Benchmarking Activity (DTI Key Officials and Staff)
- Van Rental Php 63,000.00
- Roundtrip Airfare Php 66,000.00
- Hotel Accommodation Php 90,000.00
- Tokens Php 20,000.00
- Communications Php 1,200.00
- Supplies (safety/sanitary kits, i.e., face mask: Php 7,000.00
Allena piña-cotton mask, alcohol, disinfectant
spray, face shield, oximeter, thermometer)
- Food Php 52,800.00
TOTAL Php 500,000.00
*The cooperating agencies who will participate in the benchmarking activity will shoulder their own
expenses, hence it is not reflected in the breakdown presented above.

X. COOPERATING AGENCIES

1. Department of Trade and Industry – Region 4A (CALABARZON)

2. Department of Trade and Industry – Laguna Provincial Office
3. Department of Trade and Industry – Aklan Provincial Office
4. Department of Science and Technology – Region 4A (CALABARZON)
5. Provincial Government of Laguna with the Office of the Vice Governor
6. Local Government of Santa Rosa City, Laguna
7. Local Government of Lumban, Laguna
8. Local Government of Cabuyao City, Laguna
9. Santa Rosa City Employees Multipurpose Cooperative (SRCEMPC)

Prepared by: Noted by:

Angelica Fae R. Rodriguez Marcelina B. Alcantara

OTOP Next Gen Support Staff Division Chief, BDD

Adrimar A. Adriano
Negosyo Center Business Counselor

Reviewed by: Approved by:

Ivylou M. Flores Clarke S. Nebrao

OTOP Next Gen Focal Person/TIDA Provincial Director

Angela Luz P. Salvador

STIDS
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