Chris Okpoko
The textile industry has been an age-long cottage industry in Nigeria, considering that Aso-Oke, Akwete, and the dyeing pits of Kano constitute part of our cultural heritage. They are still there today because clothing is one of the basic needs of man.
According to Kohan Textile Journal (Oct. 2020), modern textile manufacturing in the country started in the 1950s. The first factories were those embarked upon by the regional governments as deliberate programmes of promoting industrial development through a policy of import substitution industrialization.
This led to the establishment of Kaduna Textile Mills Limited in Kaduna in 1956, Nigerian Textile Mill Limited in Lagos, Aba Textile Mills Limited in Aba, and Bendel Textile Mills Limited in Asaba in the early 1960s. The next major outfits came on board when erstwhile textile importers/merchants, invariably of Lebanese and Indian origins decided to transform themselves into manufacturers. The Indians dominated the Lagos axis while the Lebanese dominated Kano. This transformation was the single most significant impetus to the growth of the textile industry in Nigeria.
In the 1970s and 1980s, Nigeria produced textiles not only for domestic consumption but for regional export throughout West Africa. At the time, Nigeria produced about 50% of West Africa’s textiles and was the 2nd largest producer in Africa. Nigeria exported textiles to the United Kingdom. The industry was the largest private employer in Nigeria after the government. However, the textile industry in Nigeria collapsed for various reasons.
It is against this backdrop that Vice-President Kashim Shettima recently set up a committee saddled with the responsibility of developing a roadmap for the revitalisation of the cotton/textile sector in Nigeria.
According to the Vice President, the Federal Government in a bid to revive the cotton and textile industry is collaborating with the International Cotton Advisory Committee (ICAC), a project expected to create over 1.4 million jobs annually in the cotton/textile sector, even as it focuses on key components of the cotton value chain comprising farming, weaving, ginning and linking of cotton, all in line with President Bola Tinubu’s industrialisation drive.
But before the committee was set up, the minister of industry, trade, and Investment, Doris Uzoka-Anite, had announced that the government secured some $3.5 billion to develop the ‘Resurgence Plan for Optimized Performance of the Nigerian Cotton, Textile, and Apparel Industry’ in partnership with development partners and private sector players to unlock the sector. According to her, there are plans to reduce the nation’s reliance on imported clothing. This initiative aims to localise up to $4bn in spending on textile imports, fostering economic growth, creating jobs, and boosting local manufacturing capabilities.
Before now, the Nigerian government has implemented various interventions in the cotton and textile industry, primarily focused on reviving and strengthening the sector. These interventions include a N100 billion cotton, textile, and garment fund, followed by a targeted N255 billion allocation in the 2015 budget under former President Goodluck Jonathan in 2009.
The Central Bank of Nigeria (CBN) also floated an N50 billion ‘CBN Textile Intervention Fund’ to revive the ailing textile industry in 2021 under former President Muhammadu Buhari. The fund was to be administered by the Bank of Industry (BoI) at a 4.5% interest rate through the CBN-approved non-interest financing instruments for refinancing. Despite these significant financial injections, the industry remains comatose.
According to the data from the National Bureau of Statistics (NBS), the importation of textile products into the country increased from N182.5 billion in 2020 to N377.1 billion in 2023, and total textile trade within the period was N1.5 trillion, with imports totaling N1.4 trillion, representing 96.5%.
According to the Nigerian Textile Manufacturers Association, Nigeria has 24 textile mills.
However, only a small fraction of these mills are fully functional, with some reporting that only three are operating properly. The textile industry has faced a significant decline, with the number of mills and workforce shrinking compared to the late 1980s, when there were 180 mills and a 350,000-strong workforce. This decline has led to widespread unemployment and a loss of skills within the labour force.To draw a roadmap to resuscitate the cotton and textile industry in Nigeria, we must take into consideration, the fact that cotton farming takes place mainly in the northern regions of the country, where climatic conditions are favorable but currently under the scourge of insecurity.
Also, the decline in local production can be attributed to several factors, including the influx of cheaper imported textiles, lack of access to credit for farmers, inadequate irrigation systems, and lack of government support for local industries.
Thus, to rejuvenate the cotton and textile industry, Nigeria must adopt a multi-faceted approach that includes enhancing local production capacities, investing in technology, reforming policies, and fostering sustainable practices.
One of the primary strategies for rejuvenating the cotton and textile industry is to increase local cotton production. Strengthening the cotton supply chain requires the security of lives and property, improvements in agricultural practices, and access to resources:
1. Security – The farmers-herders rivalry in Nigeria has had a significant impact on agriculture in the country. The conflict, which stems from competition over land and resources between sedentary farmers and nomadic herders, has led to violence, displacement, and disruption of agricultural activities in affected areas and needs to be addressed. Similarly, the menace of Boko Haram and banditry in the northern region must be checked for any meaningful endeavour to thrive.
2. Improved Seed Varieties: High-yield, pest-resistant cotton seed varieties can significantly enhance productivity. Research institutions and agricultural extension services should focus on developing seeds tailored to Nigeria’s diverse ecological zones.
3. Access to Credit: Many farmers are unable to secure the necessary investment for cultivation, providing access to credit facilities is vital. The government could implement microfinance programs specifically for cotton farmers, offering low-interest loans and subsidies for inputs like seeds and fertilizers.
4. Training and Education: Programmes that educate farmers about modern farming techniques will boost productivity. Collaborations with agricultural experts and universities can facilitate knowledge transfer in pest management, irrigation methods, and crop rotation.
5. Irrigation and Infrastructure Development: Improving irrigation systems is crucial in combating the effects of climate change and ensuring a consistent water supply. Investments in roads and transportation networks will also help farmers efficiently access markets.
Modernizing the textile production process through technology can enhance efficiency and product quality. This transformation should focus on several key areas:
1. Textile Manufacturing Equipment: Investing in modern spinning, weaving, and finishing technologies will improve the quality of Nigerian textiles and reduce production costs. The government could incentivize local manufacturers to upgrade machinery by providing tax breaks, grants, and foreign exchange.
2. Digital Platforms: Establishing digital marketplaces can connect cotton farmers directly with textile manufacturers and consumers. Such platforms would facilitate better pricing transparency, reducing reliance on middlemen who often exploit farmers.
3. Automation and Innovation: Encouraging innovation within manufacturing processes can enhance competitiveness. This could include investments in automated solutions that streamline production workflows and improve output.
4. Research and Development (R&D): Increased funding for R&D in textile materials, including sustainable and biodegradable fabrics, aligns with global trends toward environmentally friendly products. Partnerships with international research organizations can enhance local capabilities.
Government intervention plays a critical role in revamping the cotton and textile industry. Policymakers must develop a conducive environment for growth through strategic reforms:
1. Protectionist Measures: While it is essential to embrace free trade, implementing temporary protective tariffs on imported textiles can help local industries regain competitiveness. This protection would allow domestic manufacturers time to strengthen their operations.
2. Export Incentives: The government should offer incentives for textile exports, such as tax rebates or subsidies. By improving textiles export profitability, local manufacturers may increase production and become more competitive in the global market.
3. Quality Standards: Establishing quality standards for locally produced textiles will enhance their acceptance domestically and abroad. Government agencies should work with industry stakeholders to develop robust quality assurance mechanisms.
4. Balanced Trade Agreements: Nigeria should negotiate trade agreements that favor local cotton and textile production. This entails ensuring foreign competitors adhere to standards as local producers, leveling the playing field.
As global awareness regarding sustainability grows, the Nigerian cotton and textile industry must adopt eco-friendly practices. These initiatives not only appeal to consumers but can also lead to long-term benefits:
1. Organic Cotton Farming: Promoting organic farming practices can attract niche markets interested in sustainable products. Farmers can be trained in organic methods, reducing reliance on harmful chemicals and improving soil health.
2. Waste Management: Implementing recycling practices and reducing waste in textile production will enhance environmental sustainability. Establishing recycling programs can ensure that fabric scraps are reused, reducing overall waste.
3. Sustainable Sourcing: Encouraging brands to source cotton from certified sustainable farms could enhance the industry’s reputation. This initiative would cater to the growing consumer demand for ethically produced goods.
4. Community Engagement: Involving local communities in sustainability efforts not only builds goodwill but also enhances the industry’s social impact. Educating communities about environmental stewardship fosters a culture of sustainability.
Revitalizing Nigeria’s cotton and textile industry is a complex but achievable goal. By addressing local production challenges, investing in technology, reforming governmental policies, and fostering sustainable practices, Nigeria can transform its textile industry into a robust and globally competitive industry.
This rejuvenation not only promises economic benefits but also catalyzes job creation and rural development. Through concerted efforts from the government, private sector, and local communities, the dream of a thriving cotton and textile industry in Nigeria can become a reality once more.
