Senate Pushes Textile Import Ban To Revive Local Manufacturing Industry

Senate seeks textile import restrictions, local factory revival and expanded cotton production to boost jobs and local manufacturing.

The Senate on Tuesday moved to halt the importation of textile materials into Nigeria, urging the federal government to impose a total ban on textile imports as part of a comprehensive strategy to revive the country’s once-thriving textile industry, stimulate local production and create millions of jobs.

The upper chamber also called on the federal government, the Federal Ministry of Industry, Trade and Investment, and the Federal Ministry of Agriculture and Food Security to take urgent steps to resuscitate textile manufacturing companies across the country, describing the sector as a critical driver of employment generation and economic growth.

In addition, lawmakers advocated increased funding for the Bank of Industry (BoI) to support struggling textile firms and urged government agencies to expand cotton cultivation and production in order to strengthen the industry’s supply chain and boost local content.

The resolutions followed the adoption of a motion titled, “Urgent Need to Revive the Textile Industries in Nigeria,” sponsored by Senator KatungMarshall and co-sponsored by nine other senators during plenary.

Leading the debate on the motion, Katung painted a grim picture of the collapse of an industry that once ranked among the nation’s largest employers and contributed significantly to economic development.

He recalled that Nigeria’s first large-scale textile manufacturing mill was established in Kaduna in 1957, laying the foundation for the rapid expansion of textile production across the country.

According to him, government policies in the 1960s and 1970s, particularly restrictions on textile imports, attracted investors and enabled the industry to flourish, leading to the establishment of about 167 textile mills nationwide.

At its peak, he said, the industry employed more than 500,000 Nigerians directly, making it the second-largest employer of labour after the federal government.

Katung noted that Kaduna became widely known as Nigeria’s, “Textile City” due to the concentration of major textile firms such as Arewa Textiles Plc, Fantext Nigeria Limited, Nortex Nigeria Limited, Supertex Limited and United Nigerian Textiles Limited, all of which generated thousands of jobs and commercial opportunities.

However, he lamented that the sector began a steady decline in the late 1990s owing to obsolete machinery, inadequate working capital, poor electricity supply and other operational challenges.

The lawmaker said the situation deteriorated further over the years, resulting in the closure of major textile companies, including Kaduna Textile Limited (KTL), Arewa Textiles and United Nigerian Textiles Limited (UNTL), with the attendant loss of thousands of jobs.

According to him, by 2007 alone, more than 7,000 workers had been displaced following the shutdown of some of the industry’s leading operators.

Katung observed that the textile sector, which was once the third-largest in Africa and generated about $2 billion annually, has been reduced to a fraction of its former capacity despite repeated government interventions aimed at reviving the cotton, textile and garment value chain.

He attributed much of the industry’s current challenges to the dominance of imported textile products in the domestic market, arguing that the removal of restrictions on textile imports in 2010 significantly worsened the situation.

He said, “With the lifting of the ban on textile importation in 2010, Nigeria now has almost 80 per cent of its textiles imported from China, Indonesia, Taiwan and other countries.

“This trend is definitely not helping the Nigerian economy in terms of employment generation and the conservation of foreign exchange,” he said.

The senator stressed that reviving the textile industry would not only restore lost jobs but also help address growing youth unemployment, insecurity and poverty across the country.

Following extensive deliberations, in form of information and advises to support the motion, the Senate advocated measures aimed at revitalising the sector, including a ban on textile imports, enhanced access to financing for manufacturers and policies to encourage large-scale cotton production.

Deputy Senate President Barau Jibrin, who presided over the session, assured lawmakers that the Senate would closely monitor the implementation of its resolutions to ensure tangible results.

He said the revival of the textile industry had the potential to transform the economy, create employment opportunities for millions of Nigerians and reduce the nation’s dependence on imported goods.

Jibrin added that the Senate was determined to ensure that the resolutions translated into concrete government action capable of restoring the sector to its former position as one of the country’s major industrial and employment hubs.