Nigeria textile imports jump 47% despite local production drive

Africa

Textile imports into Nigeria surged 47 percent in the first nine months of 2025, underscoring the continued stagnation of the local industry despite government efforts to revive domestic production.

Data from the National Bureau of Statistics showed the country imported textiles and textile articles worth 814.3 billion naira (US$890 million) between January and September 2025, up from 552.3 billion naira ($603 million) in the same period a year earlier.

The sector’s real growth rate contracted by 2.4 percent in the third quarter of 2025, worsening from a 1.3 percent contraction in the previous quarter, highlighting persistent structural challenges in the industry.

Since 2018, the federal government, through the Central Bank of Nigeria, has introduced a series of intervention measures, including financing support, training programmes and restrictions on foreign exchange access for textile imports. Authorities have also repeatedly pledged to strengthen policies supporting the cotton, textile and garment value chain.

However, official data show textile imports have continued to rise, despite the sector’s potential to generate employment, boost exports, attract foreign investment and reduce poverty.

Business magnate Aliko Dangote said the decline of Nigeria’s textile industry underscored the urgent need to prioritise domestic manufacturing.

“Revitalising the sector does not just require protectionist measures, but strategic investments in inputs and skills development to restore competitiveness and drive sustainable growth,” Dangote said at a recent industry lecture.

Nigeria once had a vibrant textile sector in the 1970s and 1980s, with about 180 mills employing more than one million workers and supporting strong linkages with local cotton production. The industry has struggled since the 1990s, battered by smuggling, rising imports, power shortages, policy inconsistency and insecurity.

A 2008 ban on textile imports was lifted in 2015 and replaced with a 35 percent duty, while foreign exchange restrictions imposed by the central bank in 2019 were removed in 2023.

Former Lagos Chamber of Commerce and Industry president Gabriel Idahosa said the sector’s collapse was driven by Nigeria’s lack of competitiveness in cotton production and high energy costs.

“The country is not producing cotton at a competitive price compared with producers such as China and Bangladesh,” he said, adding that currency depreciation has also raised the cost of importing machinery and raw materials.

Analysts say Nigeria retains strong potential in printed fabrics and regional markets, particularly under the African Continental Free Trade Area, but warn that sustained policy reform and investment will be needed to restore competitiveness.

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