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El Salvador, our partner country
i n Cen t r a l Ame r i ca , a l ready
has a foundation in agriculture,
handicrafts, and economic and
trade development, but the lack of a
development model through which
to form industrial clusters, and the
lack of integration of public sector
resources, have led to a slowdown
in economic growth and unrelenting
high unemployment. As some regions
of El Salvador rely on handicrafts as
their principal economic activity, there
is potential for mass employment.
To help boost its economic growth
and increase local employment
opportunities, Taiwan has been
cooperating with the government of
El Salvador in carrying out the One
Town, One Product (OTOP) Project.
This project focuses on helping
Salvadoran authorities develop
industrial mentoring mechanisms
and associated operating processes
to raise its capacity to develop
industries with local characteristics,
thereby generating revenue and
improving local economic growth.
Creating a Joint Industrial,
Public and Academic
Consultation Platform,
Establishing a Sustainable
Development Industrial Model
The project relies primarily on
the use of Taiwan's experience and
success in promoting industries
with local characteristics to assist
El Salvador in developing an OTOP
consultation platform that joins the
resources of the industrial, public
and academic sectors. The project
involves the introduction
of innovative mentoring
mechanisms related
to the industrial value
chain, with consultation
po l i c i es , r esou r ce
integration, and the
transition of ceramic
products to enhance
their market value as
the focus for capacity
building. Moreover, through innovative
design, improvement in materials
technology, introduction of ceramic
glaze firing technique, improved
product packaging, and linkage to
the OTOP market channel system
in combination with important tourist
marketing plans, the project has
assisted with the vertical integration
of upstream and downstream
development of the Salvadoran
ceramic industry.
During project implementation,
we provided guidance by introducing
Ta i w a n ' s OTOP t h r e e - l e v e l
development model for distinctive
local industries: "industry consultation,"
"market channel development
o r i en t a t i on " and " ope r a t i ons
management," combining these with
five aspects: consulting on OTOP
development policies, strengthening
o rgan i za t i ona l deve l opmen t ,
focusing on personnel training,
promoting bilateral cooperation
between Taiwanese and Salvadoran
industries so as to enhance industrial
development models, and expanding
sales markets.
To date, the project has helped El
Salvador to complete plans for the
mentoring mechanisms
for industries with local
characteristics, integrate
the ceramics industry
value chain, set up
an association jointly
cove r i ng ce r ami cs
p r o d u c t i o n a n d
tourism activities, and
conducted technical
training for various
fields of OTOP competitions. In
addition, the project has provided
capacity building in management
skills of the industries with local
cha r ac t e r i s t i cs consu l t a t i on
platform for four personnel of the
cooperative agency and trained 20
key personnel, establishing a pool of
human resources required to achieve
sustainable project operations.
Current progress of the project has
already received high praise from
the President of El Salvador, as well
as the recognition of the government
and localities.
With the continued cooperation
between Taiwan and El Salvador in
the implementation of this project, it is
anticipated that the local enterprises
receiving guidance can increase
their average sales by more than
10 percent. El Salvador will then be
able to make use of the mentoring
mechanisms and consultation
platform created for the project to
independently operate and promote
the development of local industries,
create employment opportunities and
increase the ceramics industry value
chain and the income of those who
work in this industry.
10
Comparative sales
increase of enterprises
receiving guidance
%
El Salvador
One Town, One Product Project (ceramic
miniature)
2
Case Study