One District One Product Scheme

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The One District one Product(ODOP) scheme has been inspired from Japan. It was launched by the Uttar Pradesh Government  in 2018. The scheme was later incorporated by the Government of India under its   ‘Pradhan Mantri Formalisation of Micro Food Processing Enterprises’ scheme under the Union Ministry of Food Processing Industries .

What is the idea behind the Scheme 

• The main idea behind the scheme is to select one food product or allied agricultural product   of a district that has a specific characteristic feature or is native to that particular region/district.
•  The product will be branded and promoted so that it can enable profitable trade in that product .
• It will accelerate economic growth, generate employment and promote rural entrepreneurship and is in tune with the Prime Minister’s call to transform every district into an export hub and realise the goal of Atmanirbhar Bharat. 

 Which type of product will be selected 

•  The ODOP product could be a perishable Agri produce, cereal-based product, or a food product widely produced in a district and their allied sectors.
•  It could include such products as  mango, potato, litchi, tomato, tapioca, kinnu, bhujia, petha, papad, pickle, millet-based products, fisheries, poultry, meat as well as animal feed among others.
• Innovative products including waste to wealth products could be supported under the Scheme.
• Support for agricultural products would be for their processing along with efforts to reduce wastage, proper assaying, and storage and marketing.

Who selects the District for the scheme 

The Union   Ministry of Food Processing and Industries in consultation with the Union Agriculture ministry approves the list of Districts  recommended by the 35  State and Union Territories(UT).

What is the role of the State /UT government 

• The State /UT  government selects the district for the scheme .
• The States would identify the food product for a district, keeping in perspective the focus of the scheme on perishables  agri produce,  cereal based product or a food product widely produced in a district and their allied sectors like animal husbandry ,fisheries etc.

What is the benefit under the scheme 

• The Government provides subsidies on loans to the  micro enterprises under this scheme .
• It provides grants to the Self Help Group(SHG)  involved in food processing  as seed capital.
•  It provides grant upto 50% of the cost involved in   the branding and marketing  of the products by the Micro enterprises or SHG .
• Subsidised loans are provided for the development common infrastructure like cold storage ,warehouse etc.

Linkage with other Scheme 

The Commerce ministry has merged its “District as Hub” initiative with the ODOP scheme. The Ministry of Commerce has identified products from certain districts to promote ODOP initiative.

The idea is to make districts as a hub of export and linking the local production to the global supply chain thus creating prosperity and development of the rural areas.