“It’s a welcome development for the industry players and not a happy development for those smuggling textile material into the country,” he said.
“The main reason our textile industries have folded up was because of foreign exchange sale for importation of textile and garment materials. Thank God for the government that banned forex on textiles. This would encourage local production of cotton and textile materials,” he said. “By implication, it means the end product of cotton will create employment, generate labour, it has a multiplier effect,” he said.Cotton is produced mostly in Zamfara, Katsina, Borno, Kano, Adamawa, and Bauchi States.
Mr Achimugu added that the CBN intervention has increased the production capacity of Nigeria’s cotton farmers. He said: “Counterfeiters take our design, go to China and produce substandard that washes away within three days, and they bring it and sell five yards for N1000, instead of N4000 we are selling, so they tactically check us out of the market,” he said.
For Amodu Achema, Deputy General Manager, Arewa Cotton & Allied Products Ltd, explained that the primary cause of the high cost of Nigeria’s textile is the cost of production, which he said has a direct impact on the produce.“The raw material prices, by-products of the refinery like paraffin wax, wherever they’re sourcing it now, the price will be high, the cost of diesel and prices are also up.