Gatchalian seeks to institutionalize听OTOP program to boost MSME growth, local economies听
A SENATOR is seeking to institutionalize a promotional program for Philippine products that are mainly developed and made by small businesses using materials from their hometown. 听
Senator Sherwin T.听Gatchalian听said听Bill 2366 or the One Town, One Product (OTOP) Philippines Act听will help听micro, small and medium enterprises (MSMEs)听recover from the impact of the coronavirus pandemic as well as pursue growth.听听听
鈥淎s we promote the products of each town, city, and region across the country, we will still be able to give them the opportunity to come up with various innovations in their products and services that will help grow their local economy and provide more work,鈥澨齢e said in a statement in Filipino.听听
The OTOP Philippines program, the government鈥檚 flagship project for听MSMEs,听 focuses听on the use of indigenous raw materials and local skills and talents.听听
It covers processed food, craft or artisanal products, wellness products and cosmetics, agricultural-based products, and skills-based services such as traditional Filipino massage and sculpting, among others.听听
Under the proposed measure, the Department of Trade and Industry听(DTI)听with the help of local government units must provide a comprehensive package of assistance to the program鈥檚 beneficiaries.听听听
It will include听product development, capacity building, standards and market compliance, and market access and product promotion.听听
If approved, the initial implementation of the bill will be听funded using听the trade department’s听existing听appropriations.听Thereafter, the program will be included in the government鈥檚 annual budget.听听听
Local government will also be mandated to provide an annual budget听for the operation of OTOP program offices.听听
There are currently听66 OTOP hubs听across the country, 13 of which听have already adapted听online platforms, said Mr. Gatchalian, citing data from the DTI.听听听
He added that as of Sept. 30, MSMEs听under the OTOP program听have generated P56.9 million in sales.听
If approved, government departments and agencies will support the construction and allocation of spaces for the establishment of OTOP Philippines hubs, while every听local government听must create an OTOP program office.听听
The OTOP concept was first launched in听2012听under a different program name,听and听was听relaunched in 2017听using its current banner听name.听鈥斕鼳lyssa Nicole O. Tan听
