Home / Knowledge / News / Textiles / Cheap imports leave Nigerian textile sector tottering
Cheap imports leave Nigerian textile sector tottering
23
Jun '15
Nigeria is staring at rising discontent in the country’s textile industry as cheap imports, particularly from China, are driving local textile traders out of business.

A chronic power shortage and a rise in production costs are also making things difficult in Kano, the country’s biggest city in the north, according to media reports.

Dilapidated textile factories in another northern city - Kaduna are what remain of Nigeria’s most important manufacturing industry, which in its heyday employed 350,000 people. The World Bank estimates that textiles smuggled into Nigeria through Benin are worth $2.2 billion a year, compared with local Nigerian production, which has dropped to $40 million annually.

Nigerians are desperate for a turnaround. Ahaji Dikko Abdullahi, Comptroller General of Customs in Nigeria, has stressed on the need to revive the Nigerian textile sector especially in the area of job creation.

Abdullahi said that the country’s textile sector should be given a fillip, following the drop in oil revenue, in a bid to gainfully engage Nigerian youth to develop their skills. The customs head urged locals to iron out plans to revive the textile industry in order to secure the future of the country.

“The political stability of a country is determined by its economy; we will support sectors that invest capital to expand and improve employment of youths,” said Abdullahi.

The Nigeria Customs Service has also been fighting off piracy and illegal activities taking place in the textile sector.

Although several factories have benefited from a $500 million government intervention to revive the country's textile industry, manufacturers say that monetary support alone will not fix the problem.

The power situation is disastrous and the business environment is not quite up to the mark to compete with Chinese imports, say local textile manufacturers and traders.

In the face of stiff Asian competition, manufacturers are asking for government protection.

Traders, on the other hand, want a quick propping up of the local currency naira (which had been devalued) to make imports affordable.

The troubles began a decade ago when Chinese textile merchants started the massive importation of textiles to Nigeria after Africa's most populous nation opened its doors to foreign trade.

The World Trade Organisation (WTO) deal gave the Chinese unfettered access to Nigeria's textile market, although Nigerian laws prohibit foreigners from retail trading. Traders talk of locals being recruited to conduct business on behalf of the Chinese in return for a cut of the profits. (SH)

Fibre2fashion News Desk – India


Must ReadView All

FDI in Vietnamese textile-garment projects on the rise

Apparel/Garments | On 24th Jun 2018

FDI in Vietnamese textile-garment projects on the rise

The European Union-Vietnam Free Trade Agreement and the Comprehensive ...

Courtesy: Alizilla

Apparel/Garments | On 24th Jun 2018

Alibaba Group sets up office in Kuala Lumpur

Strengthening its commitment to Malaysia, Alibaba Group has set up an ...

Bombay Dyeing plans to wind up Indonesian JV

Textiles | On 24th Jun 2018

Bombay Dyeing plans to wind up Indonesian JV

Bombay Dyeing & Manufacturing Co Ltd plans to wind up its loss making ...

Interviews View All

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Headhonchos
Textiles & allied industry

Textiles industry is always in the forefront in accepting latest technology

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Sandip Bhojani, Manthan Patel

Krypthm Tradelink LLP is a Surat-based manufacturer of westernwear....

Tom Adeyoola

Describing itself as the best body shape and garment fit company in the...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Anisha Chaudhari
Threads & Shirts

Threads & Shirts is a freshly-tailored concept providing men/women a...

Samar Firdos
Arvind Ltd

<b>Samar Firdos</b>, Chief Manager (Design) at Lifestyle Apparel Denim...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


June 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search