Local Textile Manufacturers Close Shops as Nigeria Imports N814bn in Textiles in Nine Months”

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Updated: Dec 18, 2025
Credibility: 85%

Nigeria’s textile imports surged to ₦814.27 billion in the first nine months of 2025, raising fresh concerns about the government’s much-publicised efforts to revive the long-declining textile industry.

Data obtained from the National Bureau of Statistics (NBS) trade reports show that textile and textile article imports stood at ₦228.83 billion in the first quarter, rose sharply to ₦337.12 billion in the second quarter, and eased slightly to ₦248.32 billion in the third quarter, bringing the January–September total to ₦814.27 billion.

The figure represents a 47.43 per cent increase compared to the ₦552.31 billion recorded during the same period in 2024, underscoring a deepening dependence on foreign fabrics despite repeated assurances by the Federal Government that the sector is being revitalised.

Industry stakeholders say the rising import bill is evidence that Nigeria’s textile revival remains largely rhetorical, plagued by weak policy execution, corruption, poor access to finance, and unresolved structural bottlenecks across the value chain.

Policy promises, weak execution

Operators told The Punch that several government interventions announced over the years have failed to translate into tangible support for local manufacturers. They cited difficulties accessing affordable credit through the Bank of Industry (BOI), abandoned institutional reforms, insecurity affecting cotton farming, and the inability to scale local polyester production.

The Director-General of the Nigerian Textile Manufacturers Association (NTMA), Hamma Kwajaffa, said the soaring import figures reflected a policy failure rather than market inevitability.

“This increased import is why it is now important to levy a textile tax,” Kwajaffa said. “That tax is supposed to be ploughed into the production of textiles. But the government takes that money as if it belongs to them, instead of using it to make the local industry competitive.”

He explained that when the ban on textile imports was lifted years ago, a 10 per cent levy was introduced with the understanding that proceeds would be reinvested in the industry to reduce import dependence and strengthen domestic capacity.

“The idea was simple,” he said. “They knew Nigerians have a strong preference for foreign goods, so the levy was meant to help local manufacturers compete. But once the money comes in, government treats it as general revenue.”

Levy without reinvestment

Kwajaffa faulted the government for failing to establish a dedicated textile development fund, similar to what exists in the sugar industry, where levies are channelled through a functioning council with strong political backing.

“Instead of forcing manufacturers to chase loans, the levy should be domiciled at the BOI as a textile development fund,” he said. “But that conversation is not happening. What is working is the sugar council levy, not textiles.”

According to him, no funds from the textile levy have been reinvested in the industry since its introduction.

“Nothing has been ploughed back since inception,” he said. “Because nobody in the textile industry has enough political voice, nothing is being done with that fund.”

He also criticised what he described as policy incoherence within government, noting that conflicting positions among senior officials had stalled meaningful action.

“The Vice President is speaking one way, the Minister of State for Industry is speaking another way,” he said. “That’s how things don’t work.”

Announcements without impact

The Federal Government has repeatedly announced plans to revive the cotton and textile sector. In August 2024, Vice-President Kashim Shettima urged stakeholders to produce a comprehensive roadmap for revitalisation, citing collaboration with the International Cotton Advisory Committee.

In April 2025, the Federal Ministry of Industry, Trade and Investment said it planned to localise up to $4 billion in textile imports, while the Minister of State for Industry, Senator John Enoh, announced initiatives to promote locally made garments across government institutions and provide finance and machinery support through the BOI.

Although ministry officials and BOI representatives toured textile facilities in Kaduna State to kick-start the programme, industry players say the reforms have remained slow, while imports continue to rise unchecked.

“We are tired of workshops,” Kwajaffa said. “Communiqués are written, then kept in some civil servant’s drawer. Nothing comes out of them.”

Corruption, insecurity weaken value chain

Beyond policy failures, industry leaders say corruption has undermined grant and credit schemes designed to support manufacturers.

“Mostly, the problem with grants is that they want their own share,” Kwajaffa alleged. “If there’s no kickback, the programme is killed.”

He described the problem as systemic. “It’s kickback, kickfront. Corruption is killing everything. Nothing is moving in the interest of the Nigerian people.”

Kwajaffa added that insecurity has crippled cotton farming, which remains largely smallholder-based and poorly mechanised.

“Cotton is scientific,” he said. “Farmers need training. But extension officers cannot even go to the fields because of insecurity, and government cannot fund them properly.”

He also lamented the irony that local manufacturers struggle to access affordable polyester despite Nigeria being a crude oil producer.

“Most local textile players cannot get cheap polyester, even with our crude oil,” he said.

Manufacturers warn of industry collapse

Earlier, the Director-General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, warned that the influx of imported textiles was steadily wiping out domestic production.

“These products are virtually dumped to overrun the domestic market,” he said. “Local firms cannot compete under the harsh operating environment, so they fizzle out.”

He recalled that Kaduna State once hosted at least six textile companies under MAN’s coverage, but said none remains today. Even backward integration into cotton farming, he noted, has weakened as producers increasingly export raw materials due to poor domestic competitiveness.

As imports climb and local factories struggle, stakeholders warn that without decisive policy execution, transparent funding, and strong political will, Nigeria’s textile revival may remain little more than a slogan—while billions of naira continue to flow abroad.