Charles Nwaoguji
Organised Private Sector (OPS) has kicked against the recent pronouncement by the Central Bank of Nigeria (CBN), which excludes all forms of textile materials from the forex market (in both official and unofficial windows), arguing that it has grave implications for businesses in the fashion, tailoring, fashion accessories and garment industry in the country.
According to OPS, the textile industry is one of the fastest growing industries and has created opportunities for many young Nigerians to express their creativity and innovation.
The Director General, Lagos Chamber of Commerce and Industry (LCCI), Mr. Muda Yusuf, said the sector is estimated at N5 trillion, creating about 500,000 jobs.
Yusuf noted that the industry provides significant value addition to fabrics, whether imported or locally produced, stating that the policy contemplation of CBN will put all of these at risk.
“Trading in textiles is also a major economic activity in the country, both in the northern and southern parts of the country. It is a market that responds to changing tastes and fashion trends in the country and beyond. Hundreds of thousands of women and men make a living in the marketing of textiles. The policymakers cannot afford to ignore this segment of economic players. The traders are the bridge between the producers and the consumers. It is, therefore, very important for policymakers take into account the full ramifications of the consequences of policies and collateral outcomes,” he explained.
He pointed out that today Nigeria is clearly the leader in Africa as far as the fashion industry is concerned.
The DG stated that currently the range of fabrics produced by the Nigerian textile industry cannot support the fashion industry in terms of quantity and quality. He said this vibrant industry should not be sacrificed on the altar of textile industry regeneration.
According to him, this submission is not to diminish the importance of textile industries in any way or the significance of industrialisation but rather to underscore the importance of a strategic approach to industrialisation.
He stated that the starting point is to strengthen the capacity of domestic industries, enhance their competitiveness, and reduce their import dependence as espoused in the Nigeria Industrial Revolution Plan (NIRP).