By: Atty. Gregorio B. Austral, CPA
One Town, One Product (OTOP) Program
institutionalized and funded
The OTOP Program is a promotional program of the government to promote
goods and products in Filipino towns, cities, and regions. Launched in 2004, the
program was scheduled to end in 2010. The DBM dropped OTOP funding in 2011, but
former President Benigno Aquino rescued the program by authorizing its continuation.
Program implementors will no longer worry about its ad hoc nature as the
program is now institutionalized and funded under Republic Act No. 11960. President
Marcos Jr. signed the law on August 24, 2023.
To meet the declared policy of the State to develop a self-reliant and
independent national economy effectively controlled by Filipinos, the OTOP Philippines
Program is institutionalized and shall be one of the government’s stimulus programs
that will encourage the growth of MSMEs in the countryside through the development of
indigenous raw materials, utilizing local skills and talents and featuring local traditions
and cultures across the country.
The DTI is the agency authorized to establish the OTOP Philippines Trust Mark,
an assurance that the products under the Program represent the country’s best. The
OTOP Philippines Trustmark signifies that the business and products have been marked
as excellent in terms of quality, design, value, and marketability.
The program’s beneficiaries shall be limited to micro, small, and medium
enterprises (MSMEs).
The DTI serves as the lead agency of the OTOP Management Committee and is
assisted by the CDA, DA, DICT, to name a few.
As stipulated in the law, the program funds shall be taken from the current year’s
appropriation of the DTI and, for the succeeding years, from the General Appropriations
Act. The LGU concerned shall set aside the amount needed for the operation of the
OTOP-LPO and OTOP Hubs.