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Imports choke textile industry, rise to N1.1trn in two years

Nigeria’s Textile Industry Faces Crisis Amid Rising Imports

By Yinka Kolawole

Nigeria’s reliance on imported textiles has surged dramatically, with imports escalating by 181% over the past two years. The National Bureau of Statistics (NBS) reports that import expenditures climbed to N1.08 trillion in 2025, compared to N377.47 billion in 2023. Despite ongoing efforts to rejuvenate the nation’s once-thriving local textile sector, the data underscores a significant dependency on foreign fabrics.

The NBS data indicates that the trend continues into 2026, with the first quarter showing imports at N267.7 billion—153.2% higher than the N70.48 billion recorded during the same period last year. Textile imports have consistently increased, revealing a widening gap between domestic production and demand as local manufacturers grapple with high production costs, inadequate power supply, foreign exchange challenges, and other systemic issues.

The import figures reflect a rise of 92.4% in 2024 from the previous year, reaching N726.18 billion, followed by another increase of 46% to N1.08 trillion in 2025. Quarter-over-quarter growth also persisted, with Q1’26 imports up 28.2% from N228.83 billion in Q1’25. Projections suggest that imports could reach approximately N1.4 trillion by the end of 2026.

In stark contrast, Nigeria’s textile exports have dwindled, further aggravating the trade imbalance. Exports fell by 11.8% in 2025 to N16.55 billion from N18.76 billion in 2023 and dropped significantly from N36.98 billion in 2024. This decline highlights the diminishing competitiveness of the Nigerian textile manufacturing sector.

The rising imports and declining exports have prompted renewed discussions among stakeholders regarding the future of the textile industry. In June 2026, the Nigerian Senate responded by urging the Federal Government to implement a total ban on textile imports, seeking to revitalize the industry, particularly along the Kaduna-Kano industrial corridor, where many mills once flourished.

Policymakers emphasized that imported textiles now comprise nearly 99% of the domestic market. They also recommended enhanced support for large-scale cotton farming as a foundational step in revitalizing the textile supply chain and called for increased funding to support distressed textile factories and combat widespread smuggling.

The Manufacturers Association of Nigeria (MAN) cautioned against implementing an outright ban without addressing the fundamental barriers facing local textile producers. Segun Ajayi-Kadir, MAN’s director-general, argued that while Nigeria has the capacity to meet a significant portion of its textile demand, legislative solutions alone will not suffice. He called for a genuine commitment from the government to promote domestically produced textiles, including adherence to existing local content policies.

Ajayi-Kadir questioned the effectiveness of a ban without ensuring local patronage: “When the National Assembly passed this resolution, how many of them were wearing made-in-Nigeria garments?” He contended that any import restrictions must align with a comprehensive approach that includes improving local production competitiveness and consistent policy enforcement.

The Nigeria Textile Manufacturers Association (NTMA) echoed these sentiments, advocating for stronger government protections for domestic producers. Dr. Hamma Ali Kwajaffa, NTMA’s director-general, highlighted the devastating impact of unchecked imports and smuggling on the industry, asserting that marginal tariff increases provide little defense for local manufacturers.

Kwajaffa indicated that many local factories have closed due to excessive importation, leading to significant job losses. He suggested that a comprehensive policy overhaul is necessary to restore the industry’s competitiveness and proposed stricter border enforcement to combat the influx of cheaper imported fabrics. Additionally, he identified the need for enhanced government support for cotton farmers, as the collapse of local cotton production has hampered access to essential raw materials.

Conversely, the Centre for the Promotion of Private Enterprise (CPPE) opposed the proposed import ban, warning that it could harm downstream industries reliant on imported textiles. Dr. Muda Yusuf, CPPE’s CEO, emphasized that a significant portion of Nigeria’s garment and tailoring sectors relies on imports due to local producers’ inability to meet market demands. He cautioned that an import restriction could elevate production costs, exacerbate inflation, and diminish consumer choices.

Yusuf argued that the challenges faced by the textile industry stem more from competitiveness issues than from excessive import penetration. He called for a comprehensive reform agenda focused on strengthening domestic cotton production, improving access to affordable financing, and enhancing infrastructure.

As textile imports continue to rise and domestic production remains weak, the divergent perspectives among stakeholders underscore the complexities confronting the Federal Government. Balancing the protection of local manufacturers with the needs of businesses depending on imported materials will be crucial for the long-term revitalization of Nigeria’s textile industry.

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