During a press briefing in Abuja, Doris Uzoka-Anite, the Minister of Industry, Trade and Investment, revealed that the Federal Government has successfully attracted $3.5 billion in investments to enhance Nigeria’s textile, cotton, and apparel sector within one year.
Uzoka-Anite emphasized that this investment is part of the ministry’s initiative to revive the long-dormant textile industry, encompassing the entire clothing value chain in Nigeria.
“The Ministry is working on a resurgence plan for the Nigerian cotton, textile, and apparel industry in collaboration with development partners and private sector stakeholders.
We have secured $3.5 billion to unlock the textile, cotton, and apparel industry,” she stated.
Nigeria’s textile and apparel industry covers the entire clothing value chain and holds significant growth potential due to the availability of cotton and the country’s large market size.
“This industry is a major contributor to the manufacturing sector of the economy, with substantial potential for job creation for both skilled and unskilled workers, significant capacity for generating export earnings, and attracting foreign direct investment, thereby reducing poverty,” Uzoka-Anite added.
Despite its potential for cotton production, Nigeria’s textile industry has faced significant challenges. In the 1970s, Nigeria was a hub for textile production, with about 180 textile mills employing over one million Nigerians. However, by the 1990s, these once-thriving companies disappeared due to challenges such as smuggling, unchecked importation, erratic power supply, unpredictable government policies, and growing insecurity.
Recent data from the National Bureau of Statistics (NBS) revealed that textiles contributed a negative 1.75% to Nigeria’s Gross Domestic Product (GDP) in the first quarter of 2024, making it one of the underperforming industries in Nigeria.
Conversely, the manufacturing sector, which includes textiles, contributed a positive 1.49% to real GDP growth in the first quarter of 2024, underscoring its importance as one of Nigeria’s top-performing non-oil sectors.
In addition to textiles, other sectors that contributed to Nigeria’s GDP growth in the first quarter of 2024 include telecommunications, agriculture, trade, and the rapidly growing real estate sector.
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