OTOP needs further LGU push — Olivarez

The representative of the City of Parañaque underlined the importance of the support of local government units on local products made by their constituents that are mostly crafted by micro, small, and medium enterprises, to gain more customers and revenues.

During the recently concluded Asian Innovation Forum of the DAILY TRIBUNE last week, coinciding with the opening of "Tindahan ni Tarsee Christmas Town" in Ayala Malls by the Bay, Parañaque 1st District Congressman Edwin Olivarez, who then served as a provincial board member and vice governor of Laguna many years back, recalled how he institutionalized the One Town One Product program that greatly helped his constituents.

He said during his term, various municipalities in Laguna were known to have a distinct product because he pushed to support the makers of these goods.

Specific one-town-product

"When you say Liliw, footwear is top of mind; when you say Paete, it's their wood carvings; when you say Sta. Cruz, that's kesong puti. That goes to say that we have a specific one-town product that we can market. So LGUs should do something to enhance their production," he said.

Further, he said that it is important that LGUs should guide MSMEs to have a wider market for their products.

Last August 2023, the Republic Act 11960, or the One Town, One Product Philippines Act was passed into law, in which its principal author and co-sponsor, Senate Pro-tempore Loren Legarda, recognized the crucial role of MSMEs, consisting of 99.5 percent of all businesses in the country, as an essential driver of economic growth in the Philippines.

RA 11960 law institutionalizes the OTOP program that promotes local products and capacitates the MSMEs through developing indigenous raw materials, utilizing local skills and talents, and featuring local traditions and cultures across the country.

Gaps addressed

It addresses gaps in entrepreneurial skills, market compliance to preserve the OTOP brand as a mark of excellence, and access to local and foreign markets.

The law tasks the Department of Trade and Industry to serve as the lead agency in coming up with a set of criteria for OTOP products that are consistent with cultural values, derived sources from the community, evoke a sense of connection among locals, exemplify Filipinos' creativity and innovations, among many others.