One Tambon One Product (OTOP) is a local entrepreneurship stimulus program designed by Thai Prime Minister Thaksin Shinawatra during the 2001-2006 Thai Rak Thai government. The program aims to support the unique locally made and marketed products of each Thai tambon (subdistrict). Drawing its inspiration from Japan's successful One Village One Product (OVOP) program,[1] Thailand's OTOP program encourages village communities to improve local product quality and marketing, selects one superior product from each tambon to receive formal branding as a "starred OTOP product", and provides a local and international stage for the promotion of these products. OTOP products cover a large array of local products, including handicrafts, cotton and silk garments, pottery, fashion accessories, household items, and foods. After a military junta overthrew the elected government of Thailand in 2006, the OTOP program was canceled and then revived and rebranded.
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There are 36,000 OTOP groups across the country, with each having between 30 to 3,000 people per group. Sakda Siridechakul, president of Chiang Mai's OTOP association noted that, "OTOP has helped incomes to be spread to many people in the villages. It has given people producing handicrafts to feel they can be part of the global economy."
The military junta that overthrew the Thai Rak Thai government in 19 September 2006 made some changes to the OTOP program. It changed the program's name to Local and Community Products, but the OTOP brand was kept.
This is one of the mechanisms to promote and support the development of Thai OTOP products. Apart from setting up OTOP communities and SMEs, a seminar called “Smart OTOP” has been offering for more than 26,600 participants with the aim to upgrade their skills and knowledge for the development of better products in the future. The number of participants has been increasing each year. There is a rating system for all OTOP products and the highest score is five stars. Consumers can rest assure about the quality of products that has been awarded at this level. Apart from OPC scheme, there is also an annual exhibition for OTOP products called “OTOP midyear”. In 2010, OTOP midyear 2010 ended successfully with consolidated turnover at 810 million THB.[2]