The problem of the textile industry is beyond the CBN – Stakeholders

JULIUS JOHN

Stakeholders in the Nigerian textile industry have expressed their doubts over the possibility of the Central Bank of Nigeria (CBN) reviving the almost dead Textile industry. In a Telephone interview with president of National Union of Textile Garment and Tailoring Workers of Nigeria, IssaAremu, he revealed that providing funds for the industry is not enough to resuscitate the industry.

According to him, funds like this have been announced to Nigerians before and increased the hopes of stakeholders in the industry, only for their hopes to be dashed at the last minute because we could either not access the funds or could not meet the very stiff conditions that are required to access such funds.

Similarly, The National Union of Textile Garment and Tailoring Workers of Nigeria (NUTGTWN), through it’s president Mr. OladeleHunsu, has also watered down any form of optimism anyone might be nursing, following the recent information from the CBN Governor, Mr. Emefiele.

According to him, “if the government is serious about alleviating the huge challenges facing stakeholders in the industry, it should first of all ensure that the operating environment is condusive,” he said.

“The bitter truth which many do not want to realize is that unless the issue of incessant power outages and reckless charges by the Power Holding Company of Nigeria (PHCN),is tackled, we should forget anything about bringing back the lost glory days of the Nigerian textile industry, where Textile Companies were huge employers of labour,” he added.

It will be recalled that In line with its mandate to support the revitalization of critical sectors in the economy as well as to promote locally made goods, the Central Bank of Nigeria, CBN on Friday, August 7, called a meeting that would lead to the revival of the country’s ailing textile industry.

Speaking during a meeting  with cotton, textile and garment industry stakeholders in Lagos, CBN Governor, Godwin Emefiele said that the central bank would provide single-digit interest rate and long-tenored loans to operators in the industry.

He however stressed that the problems that had stunted the contribution of the textile industry to Nigeria’s growth, were far beyond funding, adding that he recently met with the Comptroller-General of the Nigeria Customs, as part of a collaboration to tackle smuggling of textile goods.

“Mr. President is committed to the rejuvenation and revival of this sector and he is desirous of bringing this industry back to life. A sub-sector that once employed over one million hardworking Nigerians is now almost completely dominated by imports from Asia.

We are all aware of the challenges that have beset and continue to plague the industry and I am under no illusion that this meeting will immediately resolve these issues.The central bank under my leadership is prescribing to work with the industry to come up with holistic solutions for the long-term sustainable development of the sector. I can assure you that the Bank is ready to provide funding under our Real Sector Support Facility for the industry,” Emefiele said.