On May 07, 2018, the Prime Minister issued Decision No.490/QD-TTg approving Program for one commune one product in the period 2018 – 2020 (OCOP). This Decision took effect on the date of its signing.
Accordingly, the OCOP is a program of economic development in rural areas in the direction of internal development and value added; it is the solution and task in the implementation of the national target program on building a new rural area.
The focus of the OCOP is on the development of agricultural, non-agricultural and service-based products in each locality in the value chain, performanced by the private sector (business, production households) and group economy collective.
These goods and services are locally sourced or domesticated, especially regional specialties, on the basis of exploiting comparative advantages in terms of ecological, cultural and genetic conditions, local knowledge and technology. OCOP products are rated in five categories, the highest is five star rating which ensuring international quality standards.
The State plays the role of creating, promulgating the legal framework and policies for implementation; planning the production areas of goods and services; managing and supervising product quality standards; support for educating, training, technical guidance, application of science and technology, branding, trade promotion, product promotion, credit.
It can be seen that, through the approval of Decision No.490/QD-TTg, the Prime Minister is aiming to develop cooperatives, small and medium enterprises to produce traditional products and services which can compete in the domestic and international markets, contributing to the development of the rural economy.