Recently, the integration of the One District One Product (ODOP) approach with the ‘Districts as Export Hub (DEH)’ initiative has been implemented. This article delves into the details and significance of these initiatives, providing insight into their major achievements and how they can improve agricultural marketing.
Overview of the ODOP Approach
The ODOP approach is a part of the Pradhan Mantri Formalisation of Micro food processing Enterprises (PMFME) Scheme. It provides a framework for value chain development and coordination of PMFME scheme’s support infrastructure. The ODOP concept can apply to more than one cluster of products in a district or include clusters spanning several adjacent districts in a state.
The specific products the states identify for this initiative are dependent on the existing clusters and availability of raw materials. The focus could be on perishable produce, cereal-based items, or widely produced food items in a given area. The scheme also promotes the production of traditional and innovative products, including those made from waste, such as honey and minor forest products in tribal areas.
Significance of the ODOP Approach
The cluster approach can aid in the development of specific agricultural products in districts that have a comparative advantage. This approach simplifies the process of providing common facilities and other support services which are vital for increasing productivity and efficiency.
Achievements of the ODOP Initiative
The Government launched the ODOP GeM Bazaar in August 2022, which includes over 200 product categories to promote sales and procurement of ODOP products nationwide. Highlighting its success, the initiative was awarded the esteemed Prime Minister’s Award for Excellence in Public Administration in Holistic Development.
About the ‘Districts as Export Hub’ Initiative
The DEH initiative aims to transform each district into an export hub by establishing an institutional mechanism in each District. This is done in the form of District Export Promotion Committees (DEPCs) which may be led by the District Magistrate or other high-ranking district officials with various other stakeholders as its members.
The Role and Functioning of DEPC
The main function of DEPC is to prepare and implement the District Export Action Plan (DEAP) in collaboration with relevant stakeholders at the center, state, and district level. DEAP identifies products with export potential in the district and outlines policy, regulatory and operational reforms, and infrastructure interventions for these products. It also takes care of the import-export formalities and identifies bottlenecks in Geographical Identification (GI) production, registration, marketing, and exports.
Progress of DEH Initiative
State Export Promotion Committee (SEPC) and DEPC have been formed in all States/Union Territories. Products/services with significant export potential have been identified across 734 districts. A draft DEAP has been prepared for 570 districts. Furthermore, a web portal to monitor the progress of DEAP in all the districts has been developed by the Director General of Foreign Trade (DGFT).
Pertinent Questions Regarding ODOP and DEH
To get a better understanding of these initiatives, some important questions need to be considered. Can the strategy rooted in regional-resource based manufacturing promote employment in India? What are the main obstacles in the upstream and downstream processes of agricultural product marketing in India? The answers to these questions provide a more comprehensive understanding of these government initiatives.
