Cotton, one of the nation’s most valuable export tree crops before the
oil boom of the 70s, is gradually becoming history in Nigeria despite
the potential to have a share in the estimated $3 trillion global
textile industry.
From the 1960s to late 1980s, about 176 textile companies were active
in Nigeria when Kaduna, Kano and Katsina witnessed massive influx of
graduates and unskilled labourers who sought and got jobs in the cotton
dependent industries.
However, most of these companies are now dead; the ones still alive
are crippled by importation of textile materials, government neglect and
poor cotton policies and production.
Dr H. D. Ibrahim, Director-General, Raw Materials Research and
Development Council, noted few months ago during presentation of cooton
seeds to farmers in the North-west, that in 1980, cotton turnover in
Nigeria was worth N8.9 billion, which represented 25% of the National
Gross Domestic Product (GDP). Sadly, it slumped to only N300 million in
2012.
Similarly a report by International Cotton Advisory Committee (ICAC)
(2006/2007) shows that Nigeria has 51 ginning companies but only 17 are
fully operational with 33% ginning capacity utilization and
approximately 250, 000 cotton farmers.
However, the ICAC 2016 data released December 1st says Nigeria now
produces 51,000 metric tonnes of cotton on 253,000 hectares with average
yield of 202kg per hectare only.
Again, the National Bureau of Statistics (NBS) in the Q1 GDP report
for 2016 highlighted that the textile, apparel and footwear industries
contributed only 2.10% in Q1 of 2016.
Anibe Achimugu, National President, National Cotton Association of
Nigeria (NACOTAN) in a telephone interview with Daily Trust believed
that failure of government to treat cotton as “a national asset” as done
by top producers in the world, led to the collapse of many of the 176
industries that were active up to 1980s, which is also responsible for
the continued decline of cotton production in Nigeria.
Arc. Bashir S. Haiba, who is a cotton farmer and does cotton
business, from production to chain processing (ginning), told our
reporter during an interview that cotton used to be part of the
traditional cottage industry.
“In most of the cities in Hausa land, particularly cotton growing
areas, you will always find ‘Masaka’ where traditional weaving and value
addition takes place; weaving blankets, clothes and other things but
over the years it is all gone,” he lamented.
“In Malumfashi now there are three functional ginneries but they are seasonal and operate below 50% of their capacity,” he said.
How $4bn (about N1.2 trillion) textile imports kill cotton production
The Director General of the Nigerian Textile Manufacturers
Association (NTMA), Hamma Kwajaffa, while lamenting the state of the
Nigerian cotton industry with journalists in Abuja recently said the
country spends $4 billion (about N1.29 trillion) annually on import of
textiles and ready made clothing, which makes it extremely difficult for
the comatose industries in the country to operate and compete.
Most of these textiles materials come from the world’s largest producers of cotton – India, China, USA, Turkey and others.
Arc. Haiba also highlighted the issue of smuggling in the textile
industries as a major challenge, adding that our borders are very porous
thereby killing local production over the years.
With a total of 650,000 hectares available for cotton farming, only a
third is currently exploited to produce less than 300,000 tonnes by an
estimated 250,000 farmers in the major cotton producing states.
Even the federal government’s N100 billion for cotton, Textile and
Garment Development Scheme “managed by the Bank of Industry (BOI), to
revitalize the CTG Industry along the entire value chain at an interest
rate of 6% per annum with tenor up to 5years,” did not make any
significant impact.
Many farmers are now leaving cotton for other crops, a situation that call for concern.
FG policy on uniforms could be a game-changer
Currently, Nigeria does not have any National policy that protects the cotton industries – looking at the entire value chain.
Stakeholders like Mr. Achimugu and Kwajaffa believe that if
government makes it a national policy that school uniforms of the
estimated 40 million pupils, students and those of thousands of our
military and para-military personnel are not allowed to be imported,
that will go a long way in changing the game as that figure alone will
create the market that will resuscitate private sector investments in
the cotton and textiles industries.
As it stands today, government does not have any legal instrument in
place that regulates the industries making it extremely difficult for
the sub-sector to come back to life.
Everything begins and ends with quality seeds
On production, Architect Haiba disclosed that the greatest problems
are seeds which are grossly insufficient and not of best quality.
“Seedling nowadays doesn’t grow more than 2-3 feet, but before, a
cotton plant could reach up to 5 feet with a lot of branches which you
can harvest up to four times. For cotton you need long fibre, disease
resistant seeds and ones that adjust properly to the vagaries of the
weather,” he said.
Anibe Achimugu, like NACOTAN’s Kwajaffa and Arc. Haiba, also stressed
that lack of quality cotton seed (and quantity) to address the needs of
farmers for seed and to achieve higher yields, must be addressed.
He also emphasised the need for adequate financial support for
farmers, research and development (R&D) on the part of government
for the Institute for Agricultural Research (IAR), which will ensure
seed production programmes are implemented to produce breeder and
foundation seeds for the industry’s needs.
Achimugu, who is also the MD/CEO of Arewa Cotton, said there was need
to facilitate the establishment of a world class seed processing plant
in the first instance.
“Government’s help is needed as it will not become commercially
viable for some years but it is needed to play a developmental role in
the short to medium term to address lack of properly treated and
certified cotton planting seed,” he said.
Other issues with cotton production in Nigeria
Architect Bashir Haiba further lamented the situation of herdsmen
going into fields and destroying plants, adding that the real problem of
cotton production begins after production.
He further lamented the sharp practices of middlemen whom, he said,
added water, sand or even stones so that when you weighed the cotton you
had more tonnage thereby creating problems for the cotton ginneries.
“Even the countries where we export the cotton to some years back
banned cotton from Nigeria, particularly because of the amount of sand
and debris in it, especially in Europe,” he added.
Professor Salihu A. Dadari, Programme Leader of Cotton Programme,
Department of Agronomy, Institute for Agricultural Research, Ahmadu
Bello University, Zaria, recalled that cotton marketing boards organised
and coordinated the sale of cotton and also the export of the
commodity.
The don revealed that with the marketing boards, farmers received fair prices for their produce.
He blamed the decline in cotton production on low seeds release to
farmers, lack of adequate inputs, poor pricing policy, activities of
middlemen, poor roads infrastructure and lack of security.
“At a time Nigeria was producing up to one million tonnes of cotton
lint that goes to the textiles but nowadays the percentage has reduced
drastically,” he said.
Prof. Dadari asserted that it was a mistake to dismantle the Cotton
Marketing Boards adding that no sustainable substitute was created
afterwards.
He stated that although there were allegations of corruption and
fraudulent activities, it was still better then, because now you can’t
hold anybody responsible for how many tonnes we have acquired or where
we are taking them to or who is buying what.
Experts say government should act now
Speaking on the way government can revitalize the sector, Architect
Bashir Haiba, said government should critically look into input supply
for production and allocate at least 15% of the budget to agricultural
production.
He said Nigeria should engage in technology shopping, particularly
from other countries, adding that fertiliser, herbicides, pesticides,
agricultural extension workers should also be strengthened.
“The technology attachés in embassies should look for the most rugged
and simplest form of technology and see how we can bring it into
Nigeria and replicate it. India has a lot to offer Nigeria,” he said.
Prof. Dadari on his part called on government to as a matter of
urgency render deliberate and targeted support for the stakeholders in
the cotton value chain.
“Professionals must be trained and sent to the field to give farmers
technical advice and improved seeds that have long fibres, are pest
resistant and compatible with various soils and weather at affordable
prices,” he suggested.
Mr. Achimugu, the MD of Arewa Cotton, Abuja, however appealed to the
federal government to set up a National Cotton Council where
stakeholders could deliberate on all issues pertaining to the cotton
industry, and to identify interventions and implement actions.
He also wants “government to facilitate the establishment of a High
Volume Instrument (HVI) testing centre.
Alongside this, introduce
through the instrumentality of the Federal Government of Nigeria, the
Nigerian Cotton Standards (NCS) and selling types, thereby creating a
Nigerian standard in the international market place.”
But the question now is:
would N1.6 billion earmarked for cotton production in the 2017 budget revive the trend?
