To regain back the lost glory and one of the sources of government revenue, the Permanent Secretary, Federal Ministry of Industry, Trade, and Investment, Ambassador Nura Abba Rimi, has hinted on the Federal Government's desire to see the revival of Nigeria's cotton, textile, garment sectors.
According to him, the strength, integrity, and complexity of a country's industrial sector greatly affects its economic well-being
He made the remark during the 13th delegate conference of the National Union of Textile, Garment, and Tailoring Workers of Nigeria which ended in Abuja on Wednesday,
In a statement issued on Thursday by the Ministry’s Director, Press and Public Relations, Adebayo Thomas, the Permanent Secretary said "This is why the Federal Government has initiated a lot of reforms geared towards resuscitating the Cotton, Textile and Garment Sector, particularly in policy development and implementation this has greatly impacted both the industry and the economy at large in the country"
Nura recalled the sector's boisterous past, stating that the Cotton, Textile, and Garment (CTG) Sector used to be the liveliest sector of Nigeria's economy, employing at least 450,000 Nigerians, operating over 170 textile mills throughout the country.
He however, expressed unhappiness with the sector's slide to around 20,000 jobs with less than 20 mills, which he declared unacceptable.
The Permanent Secretary also pushed for all efforts to ensure the sector is properly revitalized.
Recalling some of the recent Federal Government efforts, he said, it granted a 100 billion Naira loan facility through the Bank of Industry to retool, upgrade, and purchase equipment.
According to him, this lending facility, over the years, has benefited not less than 35 Textile Industries (10 garment firms, 10 ginneries, and other companies that provide critical services to the sector throughout the country).
He said the government similarly reclassified petrol prices and supply to the CTG sector to cut production costs from $7.62 Mscf (thousand standard cubic feet) to $3.36 Mscf.
At the same time, the Ministry, he said, is actively issuing Import Duty Exemption Certificates (IDECs) to duty-free machinery and spare parts importers.
He also mentioned the Federal Government's Executive Order 003, which aims to boost local patronage and increase market access in the sector.
The Permanent Secretary urged people in the industry to reconsider their strategy to capitalize on government procurement processes.
He finally said that the Ministry is currently finalizing the textile adjustment tax levy, with a 30% levy being remitted to the Bank of Industry for sector use through the CTG Fund 2.
He concluded that the prospects and challenges in the CTG Sector need cross- cutting efforts and careful and strategic action by both government agencies and the private sector to achieve the desired result. .