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In QGIS 3.20 I have clusters of overlapping polygons as shown in the image below:

Clusters of overlapping polygons

My requirement is to dissolve each of these clusters into single polygons. While the "Dissolve" tool provides me with the required visual output as shown below, it ends up merging all the polygons (of all the clusters) together into a single feature.

Result when 'Dissolve' is used

The polygons in each cluster don't share a common attribute so I can't dissolve by attribute either. The full set is also too large in number for me to select them manually.

Would be grateful if anyone could suggest a way in which I could achieve my objective here, which is to dissolve based on whether or not the polygons overlap with each other.

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Let's assume there are nine features in 'grid_test' (redish), see image below.

input

Use the the GDAL's "Dissolve" (GDAL > Vector geoprocessing > Dissolve) from the Processing Toolbox (Ctrl+Alt+T).

Tick the 'Produce one feature for each geometry in any kind of geometry collection in the second source' in Advance Parameters.

dissolve_param

Press Run and get the output

result

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