Textile import ban could threaten 10 million jobs, CPPE warns

The Centre for the Promotion of Private Enterprise (CPPE) has cautioned against the Senate’s proposal to ban textile fabric imports warning that the policy could disrupt Nigeria’s fashion and garment industry and threaten the livelihoods of an estimated 10 million Nigerians

This was contained in a statement issued on Sunday by its Chief Executive Officer (CEO), Dr Muda Yusuf.

The economic policy advocacy group argued that while reviving the local textile industry is desirable, an outright ban on textile imports is unlikely to achieve the intended objectives and could have significant unintended consequences for the broader economy.

What the group is saying

CPPE said textile fabrics serve as critical intermediate inputs for several industries, particularly fashion, tailoring and garment manufacturing, making an import ban potentially harmful to businesses that rely on them.

• The CPPE stated, “Nigeria’s fashion, garment-making and tailoring industry is substantially larger than the textile manufacturing segment.“
• It added that the industry, conservatively valued at N10 trillion, provides livelihoods for an estimated 10 million Nigerians and remains one of the country’s most vibrant creative economy sectors.
• According to the group, restricting textile imports would increase production costs, reduce consumer choice and threaten thousands of micro, small and medium-sized enterprises engaged in fashion, tailoring and garment production.
• The CPPE also noted that textile fabrics are essential inputs for Nigeria’s furniture and interior design industry, valued at about N7 trillion, warning that supply disruptions would weaken the sector’s competitiveness.

The organisation maintained that public policy should protect the broader value chain, noting that the garment industry generates significant domestic value addition through design, tailoring, branding, embroidery, merchandising and retailing.

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Rather than banning imports, the CPPE urged the government to adopt targeted policies that improve the competitiveness of Nigeria’s textile industry while supporting downstream manufacturers.

• It recommended that military, paramilitary agencies, schools and other public institutions prioritise locally produced textiles and garments for uniforms.
• The group called for the establishment of a Textile Competitiveness Fund, financed partly from textile-related import tax revenues, to provide single-digit financing for technology upgrades and industry modernisation.
• It also urged the government to revive cotton production through improved seedlings, mechanisation, extension services, enhanced security and guaranteed off-take arrangements.
• Other recommendations include stronger border enforcement to curb smuggling and measures to reduce energy costs, improve infrastructure and lower financing costs for manufacturers.

The CPPE argued that these reforms would provide more sustainable support for domestic textile production than an outright import prohibition.

Get up to speed

The debate over textile imports reflects the broader challenge of balancing industrial protection with the needs of downstream industries that depend on imported raw materials.

Data from the National Bureau of Statistics (NBS) shows that Nigeria’s importation of textiles and textile-related products surged to N1.06 trillion in 2025.

• Nigeria’s fashion and garment industry employs millions and contributes significantly to the creative economy.
• Textile fabrics remain essential inputs for manufacturers that add value locally through design, production and retail.
• An import ban could raise production costs for businesses and ultimately increase prices for consumers.

The CPPE believes that strengthening the entire textile value chain—from cotton farming to garment production—would deliver greater economic benefits than restricting imports.

What you should know

Earlier this month, the Senate called for a total ban on the importation of textile products as part of efforts to revive Nigeria’s textile industry, create jobs and increase government revenue.

• The upper chamber argued that restricting imports would encourage local production and stimulate investment in textile manufacturing.
• The Senate also urged the Federal Government to provide additional funding to the Bank of Industry (BOI) to support the revival of the textile sector.
• The proposal forms part of broader efforts to rebuild Nigeria’s once-thriving textile industry, which has experienced decades of decline due to smuggling, inadequate infrastructure, high production costs and limited access to finance.