Digital Push For ODOP Scheme: Can It Help Rural Artisans Go Global?

The One District One Product (ODOP) scheme will be developed as an export-oriented model. For rural artisans and producers, who have been battling raw material shortages and rising prices, this could be an opportunity

ODOP Scheme, One District One Product, One District One Product Scheme, Handloom Products India

Raw material shortages and rising prices have had an adverse impact on the sale of handicrafts and handloom products. But things could look up, with the Central government pushing for digital integration of the One District One Product (ODOP) scheme.

ODOP products are being linked with the Government e-Marketplace (GeM), ODOP Bazaar portal, and state e-commerce platforms. Additionally, the scheme will be developed as an export-oriented model by linking it with initiatives like Districts as Export Hubs, Vocal for Local, and Atmanirbhar Bharat.

Digital Integration

Sources from the Department for Promotion of Industry and Internal Trade (DPIIT) say the government is paying special attention to product branding, packaging improvement, gap analysis, buyer–seller meets, and export linkage support.

Instructions have also been given to expedite the ODOP application process in various states. Integration support for Micro, Small, and Medium Enterprises (MSMEs) will also be provided.

A senior official from the Commissioner of Cottage and Rural Industries, Gujarat government, said, “In Gujarat, under ODOP, 90 products have been selected across 33 districts as primary, secondary, and tertiary. The Gujarat government has issued around 70,000 artisan cards, through which producers can participate in exhibitions.”

Rising Raw Material Costs

The policy intervention comes at a time when artisans and traders have been grappling with reduced profits due to rising raw material costs. There is also not enough awareness about the products made by them – something that digitisation can change.

Ritaben Ahir, an artisan, said, “Information about this (ODOP) scheme has not reached customers in rural areas. We are not getting proper markets for the products we make.”

Unity Malls, which are marketplaces where artisans can showcase and sell their products, are not drawing enough people.

“Young people who are fond of foreign brands are still not attracted towards Unity Malls. Due to the rising cost of raw materials, profits are decreasing. The benefits of this scheme are not reaching all workers equally,” she rued.

ODOP Scheme Objective

ODOP is a government initiative under which 1,243 unique local products have been selected across 775 districts in 27 states of the country. The idea is to encourage small entrepreneurs, artisans, and self-help groups. Moreover, it aims to increase rural employment and reduce migration.

In an effort to develop a local-to-global economic model, it has now been decided to prioritise online platforms along with offline channels for small traders, artisans, and self-help groups.

The ODOP scheme was first announced by the Uttar Pradesh government in January 2018. After the model proved successful, the Central government adopted and expanded it at the national level in 2020.

Collective Policy Implementation

According to the Department for Promotion of Industry and Internal Trade (DPIIT) annual report, ODOP is a strong example of collective policy implementation across 27 states and union territories.

The report says it contributes to increasing competitiveness in district-level products. In states such as Gujarat, the construction of 25 Unity Malls is nearing completion.

In the coming phase, this scheme will become a central tool for district-based industrialisation, local employment generation, global branding of GI products, and development of MSMEs and food processing.

Institutional structures have been prepared at the state and district levels, under which State Export Promotion Committees and District Export Promotion Committees have been formed.

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