He told the Sunday Politics show that the UK would benefit from leaving the European Union.
The prime minister has said Britain will vote on whether to remain in the EU on Thursday 23 June.
Sinn Fein's Máirtín Ó Muilleoir said leaving the EU would be a bad move:
"I think if we look at what's in the interests of our citizens here, in the six counties in the north I think that you have to admit that for the pocket in terms of the economy we benefit hugely from the EU," he said.
"For me it's very important for the peace that we remain in the EU."
However, Mr Dodds said: "We will be recommending strongly on behalf of our party that the circumstances are such that we should leave because we believe that the United Kingdom will be stronger, safer and better outside the EU unshackled, by the political superstructure that's there.
He added: "The deal that the prime minister has done is recognised by many people as tinkering with the issues - it doesn't really get to the root of some of the problems."
The SDLP and the Alliance Party are to campaign for the UK to remain in the EU.
The Ulster Unionists are still considering their position.
David Cameron announced the date of the referendum after holding a cabinet meeting on Saturday to discuss his new deal with the EU.
He said the agreement gave Britain "special status".
DUP MP Nigel Dodds has said that the deal secured by the prime minister for the UK's membership of the EU does not get to the root of many of the issues.