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Picture Courtesy: The Statesman

Context:

One District One Product (ODOP), an ambitious initiative of the Government of Uttar Pradesh, has emerged as a model and a focal point in India’s development discourse.

What is ODOP?

ODOP promotes balanced regional development by identifying and branding a unique product from each district. It strengthens value chains through coordinated institutional support, better packaging, quality enhancement, and expanded market linkages.

The initiative has delivered measurable impact by:

• Raising artisan incomes
• Expanding domestic and export markets
• Creating district-level employment
• Preserving traditional knowledge and cultural heritage

Institutional backbone:

ODOP is spearheaded nationally by the Department for Promotion of Industry and Internal Trade (DPIIT) and implemented through collaboration between:

• Central ministries
• State governments
• District administrations

States select products based on existing local ecosystems and forward them to DPIIT. Today, 1,200+ ODOP products are listed on the DPIIT portal, spanning textiles, handicrafts, food products, and minerals.

Current status of ODOP initiative in India:

• The ODOP scheme has been scaled nationwide, covering over 770 districts across India, turning them into economic growth engines by promoting one signature product per district.

• More than 1,200 unique district-specific products, from textiles, handicrafts and food items to agricultural and mineral goods.

• Products are being showcased and sold through digital marketplaces such as the Government e-Marketplace (GeM) ODOP Bazaar

• ODOP products are gaining international recognition through exhibitions, diplomatic gifting (including G20 events), and promotion by Indian missions abroad.

• Physical retail platforms like PM Ekta Malls (Unity Malls) are being developed to provide dedicated space for products from every state.
• The government has institutionalised National ODOP Awards to recognise outstanding contributions by districts, states/UTs

Importance of ODOP:

• Balanced regional development: The One District One Product initiative promotes balanced regional development by identifying each district’s unique economic strength and transforming it into a growth driver, thereby reducing regional disparities, discouraging distress migration, and ensuring that development is not limited to major urban centres but spreads across rural and semi-urban India.

• Empowerment of artisans and producers: ODOP empowers artisans, weavers, farmers, craftsmen, and micro-entrepreneurs by providing skill development, modern toolkits, credit support, quality improvement training, and market access, enabling traditional producers to transition from subsistence livelihoods to sustainable and competitive enterprises.

• Export promotion and global competitiveness: By improving product quality, packaging, branding, and compliance with international standards, ODOP aligns with national initiatives such as Make in India and Districts as Export Hubs, helping local products enter global value chains and enhancing India’s export basket with region-specific specialties.

• Preservation of cultural and traditional heritage: The initiative safeguards India’s rich cultural heritage by reviving traditional crafts, indigenous knowledge systems, and region-specific skills, converting them into viable economic opportunities so that heritage survives not only as culture but also as a source of livelihood.

• Job creation and rural entrepreneurship: ODOP generates large-scale employment across district-level value chains, from raw material sourcing and production to packaging, logistics, and marketing to fostering rural entrepreneurship, strengthening local economies, and contributing to inclusive growth.

Challenges in the One District One Product (ODOP) initiative:

• Limited access to modern technology: A large share of India’s ODOP producers operate in the micro and informal sector, where access to modern machinery, design technology, and testing facilities remains limited, resulting in lower productivity and difficulty in meeting large export orders despite ODOP covering 770+ districts and over 1,200 identified products

• Inadequate branding and marketing skills: Although ODOP products have strong cultural value, many artisans lack professional branding and packaging expertise, and with India’s handicraft exports competing in a global market worth over USD 700 billion, weak visual identity and storytelling reduce their ability to command premium prices.

• Fragmented supply chains: ODOP production is often decentralized, involving thousands of small producers working individually rather than through clusters or cooperatives, which leads to inconsistent quality and irregular supply, making it difficult to build strong district-level brands despite DPIIT’s efforts to standardize and list products on national portals.

• Access to finance constraints: Even with schemes such as ODOP Margin Money and Mudra support, micro-enterprises still face credit gaps; according to MSME sector estimates, nearly 70% of micro units in India rely on informal financing, which limits their ability to scale production or invest in better tools and raw materials.

• Quality standardisation and certification issues: Many ODOP producers struggle to meet export compliance norms such as food safety standards, organic certifications, or international quality marks, and testing laboratories and certification agencies are often located in major cities, far from rural districts where ODOP products originate.

• Digital divide: While ODOP products are being onboarded onto platforms like the Government e-Marketplace (GeM), digital adoption remains uneven — rural internet penetration in India is still significantly lower than urban levels, and many artisans lack digital literacy, limiting their ability to independently manage online sales.

Key measures for strengthening the One District One Product (ODOP) initiative:

• Strengthening cluster-based infrastructure: Developing common facility centres, design labs, testing units, and raw material banks at the district level can improve productivity and quality consistency, especially since ODOP now spans 770+ districts, requiring shared infrastructure to support thousands of micro-producers efficiently.

• Enhancing branding and global marketing: Professional branding support, GI tagging, storytelling-based promotion, and participation in international trade fairs should be expanded, as India’s handicraft and handloom exports already exceed USD 4–5 billion annually, indicating strong global demand that ODOP products can tap into with better positioning.

• Improving access to affordable credit: Expanding collateral-free loans, interest subvention, and digital credit scoring for artisans and micro-enterprises can bridge financing gaps, especially when nearly 70% of micro enterprises still depend on informal funding, limiting their ability to scale production.

• Promoting digital literacy and e-commerce integration: Targeted digital training programmes and local e-commerce facilitation centres should be established to help artisans manage online storefronts, leverage platforms like the Government e-Marketplace (GeM), and access the rapidly growing Indian e-commerce market, projected to cross USD 200 billion by 2030.

• Upgrading quality standards and certification support: District-level support for product testing, packaging innovation, barcoding, and export certifications can help ODOP products meet global norms, reduce rejection rates, and build long-term brand credibility in international markets.

Conclusion:
The One District One Product initiative has emerged as a powerful model of grassroots economic transformation by linking local heritage with modern markets. By empowering artisans, strengthening district economies, and promoting balanced regional development, ODOP turns traditional skills into sustainable livelihoods. With continued focus on quality, infrastructure, and global market integration, it can become a long-term driver of inclusive growth and self-reliant development in India.

Source: The Statesman