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Nigeria, Africa’s largest economy with over 200 million consumers, imports more than $480Mn worth of textiles annually, revealing a massive supply gap. Despite producing 43% of Africa’s cotton fabrics, local textile mills have dwindled from 180 to fewer than 20. This untapped demand positions Nigeria as a high-profit hub for textile manufacturing.
Nigeria, Africa’s largest economy with over 200 million consumers, imports more than $480Mn worth of textiles annually, revealing a massive supply gap. Despite producing 43% of Africa’s cotton fabrics, local textile mills have dwindled from 180 to fewer than 20. This untapped demand positions Nigeria as a high-profit hub for textile manufacturing.
Nigeria holds one of Africa’s richest resource bases for textile manufacturing, anchored by its legacy as a leading cotton producer. The country still contributes around 43% of Africa’s cotton fabric output, yet vast stretches of arable land remain underutilized for cotton cultivation. Combined with a large, low-cost labor force and an abundance of natural fibers, Nigeria offers investors the rare chance to integrate resource availability with large-scale industrial production. At the same time, the country’s population of over 200 million consumers drives annual textile imports worth ₦726 billion, underscoring the urgent need for local manufacturing capacity.
Despite this abundance, structural challenges have historically constrained the textile industry, leading to a decline in operating mills from 180 to fewer than 20. This gap, however, represents untapped potential rather than weakness. The IPR Zone, managed by Arise IIP, solves critical bottlenecks with world-class infrastructure, uninterrupted utilities, modern logistics, and plug-and-play facilities. For investors, this means transforming Nigeria’s raw material wealth—cotton, fibers, and skilled labor—into profitable, export-ready textile and apparel businesses at scale.
Nov. 6, 2024
ARISE IIP, Afreximbank and Rieter Sign Framework Agreement for Africa Textile Renaissance Plan
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