The scheme adopts the One District One Product (ODOP) approach to reap the benefit of scale in terms of procurement of inputs, availing common services and marketing of products. ODOP for the scheme will provide the framework for value chain development and alignment of support infrastructure. There may be more than one cluster of ODOP products in one district. There may be a cluster of ODOP products consisting of more than one adjacent district in a State.

The States would identify the food product for a district, keeping in perspective the focus of the scheme on perishables. A baseline study would be carried out by the State Government. The ODOP product could be a perishable Agri produce, cereal-based product, or a food product widely produced in a district and their allied sectors. An illustrative list of such products includes mango, potato, litchi, tomato, tapioca, kinnu, bhujia, petha, papad, pickle, millet-based products, fisheries, poultry, meat as well as animal feed among others. Besides, certain other traditional and innovative products including waste to wealth products could be supported under the Scheme. For example, honey, minor forest products in tribal areas, traditional Indian herbal edible items like turmeric, amla, haldi, etc.

Support for agricultural products would be for their processing along with efforts to reduce wastage, proper assaying, and storage and marketing.

For providing support existing individual micro-units for capital investment, preference would be given to those producing ODOP products. However, existing units producing other products would also be supported. In the case of capital investment by groups, predominately those involved in ODOP products would be supported.

Support to groups processing other products in such districts would only be for those already processing those products and with adequate technical, financial, and entrepreneurial strength. New units, whether for individuals or groups would only be supported for ODOP products.

Support for common infrastructure and marketing & branding would only be for ODOP products. In case of support for marketing & branding at the State or regional level, the same products of districts not having that product as ODOP could also be included.

The Department of Commerce is focusing on agriculture crops on a cluster approach for support for exports under the Agriculture Export Policy, and the Ministry of Agriculture is also focusing on a cluster approach for the development of specific agriproducts in districts having a comparative advantage. The ODOP approach of the scheme would lead to easing in providing common facilities and other support services.