I'm trying to create something like below, what's the best way to create those sections inside dropdown with Flutter?

you could try implementing it this way
import 'package:flutter/material.dart';
void main() {
  runApp(const MyApp());
}
class MyApp extends StatelessWidget {
  const MyApp({Key? key}) : super(key: key);
  @override
  Widget build(BuildContext context) {
    return const MaterialApp(
      home: MyHomePage(title: 'DropDown'),
    );
  }
}
class MyHomePage extends StatefulWidget {
  const MyHomePage({Key? key, required this.title}) : super(key: key);
  final String title;
  @override
  State<MyHomePage> createState() => _MyHomePageState();
}
class _MyHomePageState extends State<MyHomePage> {
  String? dropdownValue;
  List<Product> products = [
    Product(name: 'Europe', type: 'sep'),
    Product(name: 'Championship league', type: 'data'),
    Product(name: 'Europa league', type: 'data'),
    Product(name: 'England', type: 'sep'),
    Product(name: 'Premier league', type: 'data'),
    Product(name: 'league one', type: 'data'),
    Product(name: 'league Two', type: 'data'),
  ];
  @override
  Widget build(BuildContext context) {
    return Scaffold(
      appBar: AppBar(
        title: Text(widget.title),
      ),
      body: SizedBox(
        width: 500.0,
        child: DropdownButtonHideUnderline(
          child: ButtonTheme(
            alignedDropdown: true,
            child: DropdownButton<String>(
              hint: const Text('Championship'),
              value: dropdownValue,
              items: products.map((value) {
                return DropdownMenuItem(
                    enabled: value.type == 'sep' ? false : true,
                    value: value.name,
                    child: value.type == 'data'
                        ? Text(value.name)
                        : DropdownMenuItemSeparator(name: value.name));
              }).toList(),
              onChanged: (newValue) {
                setState(() {
                  dropdownValue = newValue!;
                });
              },
            ),
          ),
        ),
      ),
    );
  }
}
class Product {
  final String name;
  final String type;
  Product({required this.name, required this.type});
}
class DropdownMenuItemSeparator<T> extends DropdownMenuItem<T> {
  final String name;
  DropdownMenuItemSeparator({required this.name, Key? key})
      : super(
          key: key,
          child: Text(
            name,
            style: const TextStyle(
                fontSize: 18, fontWeight: FontWeight.bold, color: Colors.black),
          ), // Trick the assertion.
        );
}

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