written by | May 3, 2022

What is the One District One Product (ODOP) Scheme?

The One District One Product (ODOP) program was introduced in Uttar Pradesh to make the state a leading manufacturing centre across the nation. One District One Product scheme was introduced in 2018 with the amount of ₹25,000 crores by the Uttar Pradesh government. In addition, this program will encourage manufacturing and entrepreneurship within the state. The program is designed to revitalise the traditional art form by providing marketing and financial assistance. It encourages local manufacturing and industries to ensure that the level of employment will increase within the state. This article highlights the ODOP scheme's benefits, criteria and advantages.

Did You Know?

707 districts have availed of the ODOP scheme with 137 unique products. There's an ODOP scheme subsidy support.

Also Read: Amazon India launches Dedicated Storefront ‘ODOP’ for Regional Products

One District One Product Scheme

The main purpose of the One District One Product method is to gain the scale benefits in procuring inputs and accessing basic marketing and services products. ODOP is the term used to serve as the basis for developing aligned support infrastructure and value chains. There could be multiple clusters of ODOP products within a district, and it is possible to have an entire group of ODOP products in multiple adjacent districts in the state.

A state is going to determine the food item for the district. The ODOP product can be anything like a cereal-based product, a food product, or even a perishable Agri product, highly generated in a specific district and allied sectors. Support for agricultural products can be for their efforts & processing to proper assaying, decrease the wastage and marketing storage.

Support for agricultural products would be for processing and efforts to minimise the amount of waste, storage, marketing and proper assaying. In order to support existing micro-units to invest capital, preference will be provided to those that create ODOP products. But, units making other products will also get assistance. For group capital, investments primarily active in ODOP products will receive help.

The support for processing other products' in these districts will only be available to those already processing these products and who have the necessary technical and financial power. The creation of new units for groups or individuals could just be supported in the case of ODOP products.

ODOP products are provided with support for infrastructure, branding and marketing. If there is support for branding & marketing at the regional or state level, the products that districts don't have as ODOP may also be considered.

You have learned about the ODOPS, but do you know the main objectives of one district and one product plan?

ODOP Scheme Objectives

The primary goal of this program is to realise the advantage of scale for procuring inputs, marketing goods and accessing common services. One District One Product scheme provides the basis to develop value chains and align infrastructure to support them.

This is because the Department of Commerce is focusing on cultivated crops using the basis of a cluster model to help aid exports in the Agriculture Export Policy. The Ministry of Agriculture is also looking at a cluster model to develop specific Agriproducts with advantages. The ODOP strategy could result in less hassle in providing common facilities and other assistance services.

  • Addressing bottlenecks in shipping these items.
  • Assisting local exporters/manufacturers in scaling up production.
  • The identification of potential buyers outside India in the hope of encouraging exports.
  • Promoting the service and manufacturing industries in the district and creating jobs in the district.

The significance of the scheme:

  • Increased the economy's growth, employment and rural entrepreneurialism. (Atmanirbhar Bharat's goal)
  • All regions should be able to benefit from a holistic socio-economic expansion.
  • To increase exports and manufacturing within the district by attracting investors.
  • Create an environment that promotes innovation and the application of technology in the district to be competitive with international and domestic markets.

Special Products Covered Under the Scheme

MP's Chief Minister Shivraj Singh has announced an initiative to boost the district's small, medium and traditional industries. Recently, the chief minister chose to offer employment to the people living in the area by covering six special covers as part of the ODOP Scheme. To promote the products of the different districts in Madhya Pradesh, the special covers include:

  • Famous wooden toys from the Budhni region of Sehore district. This product is made from teak wood from Betul districtBamboo from Harda.
  • Stones from Katni
  • Carpets from Siddhi
  • Jeera Shankar rice from Seoni, Madhya Pradesh

The Benefits of the ODOP Scheme

The advantages that come from ODOP Scheme are right here:

  • Development and preservation of local skills and crafts in promotion and preservation of arts.
  • There is an increase in incomes and local job opportunities (resulting in a decline in the migration to find work).
  • Improvements in the quality of products and skills development
  • Redesigning the products into art (through packaging or branding).
  • To link the production to tourism.
  • Solve the issues of regional imbalance and economic disparity.
  • To expand the idea of ODOP to a national/international level following the success of implementation at the State level.
  • Extremely useful in the development of our nation.
  • The support for agricultural products will be for processing, efforts to decrease wastage, and storage/marketing.
  • The support for infrastructure common to all and marketing/branding will only be available for ODOP products.
  • The Department of Commerce focuses on crops using an approach of clustering to support exports in the Agriculture Export Policy.
  • The Ministry of Agriculture is also focusing on agriculture crops.

Also Read: Learn All About District Industries Centre

What are the ODOP Scheme's Key Features?

We've mentioned all the main features that make up the plan:

  • More than 9,000 small-scale entrepreneurs completed registration during this time, and more than 2,500 began working with the government's help.
  • The minister launched the scheme for the prime minister of India.
  • The prime minister initiated the ODOP Scheme as part of the National Livelihood Mission.
  • Through this scheme, our country will be developed.
  • The government also provides logistical and financial assistance like common facilities to increase the production of selected items.
  • The products will ultimately be assessed for geo-tagging. This could offer them an advantage over other items in the world market.
  • The selection of products differs across the entire nation.
  • In the case of capital investment, groups, mainly those involved in ODOP products, would receive assistance.
  • ODOP products for groups or individuals only support the new units.
  • ODOP Scheme will provide the basis for developing the value chain and aligning infrastructure to support it.

ODOP Scheme Eligibility

The prospective applicants who wish to apply for this scheme must meet the following eligibility requirements:

  • A candidate must be an Indian citizen. 
  • The applicant should have all the compulsory documents.
  • A candidate must satisfy all the criteria to be eligible for the scheme.
  • The applicant should visit the official website to apply and may fill out an online application.
  • They must be over 18 years old.
  • Participate in the production of the listed items district-wise
  • Only for one family member.

Important Documents

To be eligible for this scheme, applicants must have the following document:

  • Aadhar card.
  • Income certificate.
  • Domicile certificate
  • Voter ID
  • PAN card
  • A detailed report on the project
  • ID proofs, such as proof of residency, Aadhar Card, PAN Card, Driving Licence, etc.
  • Documents and details of the company
  • Documentation of business
  • Ownership documents
  • Memorandum and Articles of Association of the Partnership Deed/Company, Deed of partner, etc.
  • Statement of assets and liabilities of promoters and guarantees along with the most recent tax returns for income.

Conclusion

The government is set to begin soon a One District One Product initiative for each state across the country to increase the market for their particular product, not only in India but around the globe.

The entire machinery of the government can focus on a single company to promote skilled labour and artisans. This could lead to specialisation manufacturing, and local companies can expand globally by looking at trade possibilities with other countries in India.

It can also aid in creating more wealth and providing additional jobs, especially in smaller towns. This program is expected to bring forth many new concepts that can be implemented to address many of the issues faced by our country.
Follow Khatabook for the latest updates, news blogs, and articles related to micro, small and medium businesses (MSMEs), business tips, income tax, GST, salary, and accounting.

FAQs

Q: How many products are uniquely identified under the ODOP scheme?

Ans:

The product list includes 137 products now.

Q: What do you get in the ODOP scheme list?

Ans:

The One District One Product list includes mango, tapioca, potato, litchi, tomato, kinnu, bhujia, pickle, millet-based products, petha, papad, poultry, meat, fisheries, animal feed, etc.

Q: One District One Product scheme operates in how many states?

Ans:

As per the Press Information Bureau, the ODOP has been working across 103 districts in 27 states.

Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.