Materials: Workshop on Improvement Ruraling Condition Through One Village One Product - Yogyakarta, Indonesia, March 13 - 15, 2014

1. 1Workshop On Improvement Rural Living Condition Through One Village One Product - March 13-15, 2014
OTOP (One Tambon One Product) Movements in Thailand
Presented by: Miss Nisakorn Jungjaroentham
Department of Industrial Promotion
Ministry of Industry
Thailand
1. Background
In 2001, Thai government adopted Japan’s principle, well-known as One Village One
product (OVOP) which was started in Oita prefecture in 1969 by the initiation of
Mr.MorihikoHiramatsu, the governor of Oita. In that time, the Sufficient Economy
Philosophy has been initiative since HisMajesty King Bhumibol Adulyadej had been
brought up in the speech throughout 68 years of the thrones.
The OTOP concept isregarded about the usage ofusing capacity of local communities,
producing from local wisdom, and applying raw materials locally availableat concept
will assist to create community business, to reduce migration of rural people, and to
encourage the local communities not to their communities.OTOP product does not
mean only physical product but it also mean concerning about natural resources and
environment conservation, Thai local wisdom preservative tourism, art and culture,
norm, knowledge exchange for producing OTOP quality product.
As declared to the Thai parliamentin 2001, the OTOPimplementation has the
following objectives:
1. To create jobs and increase income to the communities.
2. To strengthen communities towards self-reliance;
3. To promote local wisdom, use of local materials and local as main resources;
4. To promote human resource development and capacity-cultivation of people in
communities;
5. To promote creative thinking of communities in product development in live with
local lifestyle and objectives.
The Sufficiency Economy Philosophy framework comprisesthree components and
two underlying conditions First, Sufficiency entails three components: Moderation,
Reasonableness, and requirement for a Self immunity system, i.e. the ability to cope
with shocks from internal and external changes.Second, two underlying conditions
necessary to achieve.
Sufficiency are Knowledge andMorality. ‘Sufficiency Economy’ requires breadth and
thoroughness in planning,carefulness in applying knowledge, and the
implementation of those plans. As for theMoral/Ethical condition, ‘Sufficiency
Economy’ enforces the conditions that people areto possess -- honesty and integrity --
while conducting their lives with perseverance,harmlessness and generosity.
2. Organizational Structure
By virtue of the Prime Minister’s regulation on the National OTOP administrative
committee 2001 (NOAC) and amendment in 2002 was established in order to
implement the OTOP project/program in line with the policy. A Deputy Prime
Minister was assigned by the Prime Minister to be the Chairman of the NOAC. The

2. 2Workshop On Improvement Rural Living Condition Through One Village One Product - March 13-15, 2014
ministers and representative of all related parties are committees. The Perm anent
Secretary of Prime Minister’s officer is committee and secretary and the director
General of the Community Development Department is committee and assistant
secretary. Main duties of NOAC are establishing policy, setting strategic, cooperative
with all related parties, support local Administrative Agencies to join OTOP, and
supporting Community Enterprise work.
Later on, there are driving mechanisms including 6 sub-committees and ad hoc
working groups to undertake activities in cooperation of public and private sector,
and academia of several fields, such as:
1. Marketing Promotion Subcommittee
2. Food and Beverage Development Subcommittee
3. Fabric and Apparel Development Subcommittee
4. Decorative items and Souvenirs Development Subcommittee
5. Herbal Product Development Subcommittee
6. Regional One Tambon One Product Subcommittee (at regional and Province )
3. Important implementation of OTOP Promotion
The Thai Government has been rearrange, improve and develop the various program
for OTOP production Through NOAC and Sub committees The office of the
permanent Secretary of The Prime Minister’s office has cooperated with other
government agencies in order to integrate all activities and organize as the operational
plan for each fiscal year such as
3.1.OTOP product Champion
Currently, NOAC has performed OTOP Product Champion Project, assigned
The Minister of Interior as the chairman of the project,the objectives, of this
project consist of providing opportunity for local product be developed in
quality, and standardization for expanding via selection of best OTOP product
from provincial, regional, and nation level. Furthermore, creation of the local
link-global reach is amast.
The OTOP product Champion of 2012 was organized with 10,090 products
sent to take part in the contest of which the largest group of 2,762 products or
27.38 % was appraised at the level of 3 star while 3,448 products or 34.18 %
was appraised at the level of 4 star 1,628 products or 16.14 % was appraised at
the level of 5 star.
Community Product Standards
In 2003, Thai Industrial standards Institute, Ministry of Industry set up Thai
Community product Standard (TCPs) and mark to serve as qualification
requirements for the product. In addition, consultation is provided to support.
3.2. Ps Development Program
The government of Thailand has been supporting the OTOP development
related with 3Ps (People, Product, and Process) by technical assistance/experts
in quality control, product or package design, education and training, case

3. 3Workshop On Improvement Rural Living Condition Through One Village One Product - March 13-15, 2014
study and consultation. This program has been set up by 4 subcommittee (Food
and Beverage Development Subcommittee,Fabric and Apparel Development
Subcommittee, decorative items and Souvenirs Development Subcommittee
and Herbal Product Development Subcommittee)
3.3 Marketing Promotion
1. OTOP midyear and OTOP City Trade Fair this major even of the
country under the theme of Thai wisdom wore Organized to be an
exhibition and trade fair for OTOP products which were selected as
excellent OTOP or OTOP Product Champion (OPC) of 77 provinces
sub districts nationwide.
2. Establishing outlets for OTOP products including outlets in central
“OTOP in the City”, regional areas.
3. Setting up OTOP kiosks, shelves, and corners in department stores
shops gas station and airport.
4. Organizing trade fairs consisting of more domestic and international
trade fairs of local and oversea events.
3.4 OTOP Village Champion (OVC)
Implemented in 2006, the project of OTOP Village Champion contest
was based on the concept that OTOP products, as part of locality’s
identity culture, tradition and way of life, they could be linked with
tourism and related services.
The OVC contest was composed of 4 categories with criteria as follows;
1. Community Excellence (P-people)
2. Product Development Excellence (P-product)
3. Tourist Destination Excellence (P-place)
4. Uniqueness Preservation Excellence (P-preserve)
3.5 Network Building for Communities’ strength
Entrepreneur Network started in 2004, OTOP producer network was
implemented. By promoting and supporting the establishment of the OTOP
NetworkCommittees at the level of district, province, region, and country.
Network of Community Knowledge was promoted to create the linkages of
communities’ body of knowledge.ie, local educational Institutes, local
agencies with special expertise, local intellectuals so that they could
support one another.
4. Result of Implementation
1. Economic Dimension.
Before commencing OTOP,people earned income from the sale of community-
bases products in year 2001 with the amount of 215,549,534 Baht (us$ 6.74
million approximately,1 us$=32 Baht) after launching of the OTOP program in
September 2001,people earned more income from the community-based

4. 4Workshop On Improvement Rural Living Condition Through One Village One Product - March 13-15, 2014
product. The sale of year 2002 reached 16,837,140,742 Baht (us$526.16
million approximately) and the sale of year 2012 reached 4,112 billion Baht
(us$ 131,584 billion approximately).
Moreover,OTOP program was a great help in creating jobs and occupations to
communities of more than 22,762 villages nationwide as it created 36,236
OTOP producers and they were over 1,268260 employees, especially
housewives and the OTOP members elders that enjoyed the increase of their
household’s earnings.
2. Social Dimension
People have greater sense of Thai values; cherish identity, culture, local
wisdom, as turning to use more Thai product and consuming more
communities-based products. Besides, people in communities are able to
think/develop local wisdom, and usage of local materials and labor in
developing community-based product. So, they will have a lot more chances to
talk and confer and exchange their ideas such constructive atmosphere
brought along good community relationship with excellent spirit of
interdependence leading to the building of community networks.
3. Environmental Dimension
People are aware of environmental issues and participate more in natural
resources and environmental conservations.
4. Development Dimension
The OTOP program create an integrative working approach, multilateral
cooperation and coordinated effort not only among the government agencies
but also among educational institute, private sector, local public sector and
people to develop community-based products as prescribed in the goals and
objectives of this program.
Key successful Factors
1. Effective mechanism system and strong integrative management of
budget/work/human resource plans are observed by all government agencies
2. Provision for education, skills and quality as well as products development are
channeled to communities with the aim of helping them to be able to perform
individual thinking and action.
3. Network of Communities are very strong and create the linkages of
communities’ body of knowledge,i.e. local educational institutes, local agencies
with special expertise and local intellectuals.
4. Co-working among the public agencies both in central and local, private sector,
educational institutes and people in the communities.