Curbing imports alone to not revive Nigerian CTG sector: Stakeholders

Instead, rebuilding cotton production, reviving textile mills, strengthening ginneries, improving access to finance and power, and implementing long-delayed institutional reforms must take priority to turn the sector competitive again, they feel.

Acknowledging that the influx of imported fabrics has significantly contributed to the sector’s decline, they say sustainable revival is possible only through a comprehensive strategy that addresses the structural challenges that have crippled local production over the years, according to domestic media outlets.

Ginneries that were revived by the government have now become largely non-operational due to inadequate cotton supply and other infrastructure-related challenges.

Affected companies have struggled to repay loans received from the Bank of Industry as they lack sufficient raw materials to sustain production.

The Nigerian Senate recently urged the government to take immediate steps to revive the country’s textile industry, with particular attention to the Kaduna-Kano axis.

The Senate expressed regret that by 1997, major textile plants, including KTL, Arewa Textiles and UNIT, were barely functioning due to obsolete equipment, lack of capital and irregular power supply. By 2007, all had shut down, leaving more than 2,000 workers jobless.

The sector had become the weakest segment of Nigeria’s industrial economy, with no new investments and heavy reliance on imports to meet over 40 per cent of domestic demand, lawmakers lamented.

They also raised concern over the influx of foreign textiles following the lifting of the import ban in 2010, noting that nearly half of Nigeria’s textiles now come from China, Indonesia, Taiwan and other countries. This trend, they said, undermines job creation and deprives the economy of much-needed foreign exchange.

Nigeria will unveil a strategic policy framework for its CTG sector soon to revive the industry, according to Minister of State for Industry John Enoh.

Enoh said the framework would offer broad guidelines for the sector and attract both local and foreign investments.

The first phase of the National Cotton, Textile and Garment Industrial Transformation Programme got over last month.

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