OTOP rejig overdue

Former prime minister Thaksin Shinawatra recently addressed a gathering in Udon Thani, where he revealed plans for an overhaul of the One Tambon One Product (OTOP) project.
Speaking during a campaign rally to support a Pheu Thai candidate for the provincial administrative organisation election, Thaksin said he had personally invested 300 million baht to hire foreign experts to study overhauling the OTOP programme. Promising to unveil the restructuring plan soon, he emphasised the goal of transforming OTOP into a global phenomenon.
When Thaksin speaks, people listen — not just because of his political clout but because his statements are often perceived as government policies. His recent comments about OTOP, a flagship initiative launched under his Thai Rak Thai government in 2001, are intriguing.
The OTOP was an initiative to encourage local products and crafts that reflect a community’s local culture. The programme spurred community innovation, created jobs, and provided an avenue for locally made goods to gain recognition both domestically and internationally.
Over the years, OTOP has generated hundreds of billions of baht in combined sales. Several community products even found their way into high-end department stores and export markets.
However, OTOP appears to have lost its momentum owing to neglect by state agencies and a lack of motivation among local producers. Many community OTOP centres have abandoned products left unsold, covered by dust.
These are other reasons for the downfall of OTOP and its failure to attract modern consumers. Among them are insufficient market research, inadequate quality control, a lack of uniqueness in product design, and dull packaging.
Pricing mismatches, limited distribution channels, and ineffective marketing have further exacerbated the programme’s challenges. These shortfalls stem from one major factor –a lack of determination and consistency from the government agency in charge of developing the OTOP scheme.
Thailand’s OTOP was inspired by Japan’s “One Village, One Product” (OVOP) movement, initiated in Oita Prefecture’s Yufuin town. OVOP is underpinned by three principles: producing goods with global standards while retaining cultural uniqueness; empowering communities to innovate independently without over-reliance on government policies; and encouraging leadership and fostering a visionary mindset within communities.
In Japan, OVOP prioritises community cohesion and self-sustainability, often using surplus agricultural produce to create supplementary income. By contrast, Thailand’s OTOP scheme only scratched the surface of Japan’s OVOP, without paying attention to the core philosophy that underpins it.
Thaksin’s plan to revitalise OTOP comes at the right time. It is hoped the revival of OTOP is not just a political stunt but a well-crafted strategy that will help OTOP products famous for their quality and refinement, and above all preserve their role in strengthening the community’s economy.
The lessons from OVOP should guide this transformation, fostering a philosophy that transcends political cycles and genuinely uplifts communities. If executed with vision and clever marketing, a reinvigorated OTOP programme could redefine Thailand’s global standing in community-based products, providing a sustainable model for other nations to follow.