The Nigerian Textile Manufacturers Association (NTMA) has called on the federal government to establish a cotton corporation to boost production of the commodity and revitalize the textile industry.
Mrs Grace Adereti, President of the Nigerian Textile Manufacturers Association (NTMA), who made this call while addressing newsmen in Lagos at the weekend, noted that the creation of the corporation would ease textile manufacturer’s access to raw materials for production.
She stated: “When we contacted the farmers, they said that they are not ready to supply to us at the price negotiated by the ginners. We discovered that the farmers base their price on what they will generate from exporting the cotton.
“If we accede to the price, our output will become uncompetitive considering the infrastructural deficit in the country, which affects the cost of production. We are in a fix. Some factories have suspended production because they do not have cotton for production.
“In the past, there was a market board and government had control over the price of cotton. We want the government to intervene in this matter and save manufacturers. We have the machinery and the workforce and we are ready to produce, but we are hindered by the present situation.”
Also speaking, Director-General of the association, Mr Hamma Kwajaffa, lamented that rivalry among government agencies contributed to the challenges hindering the growth of the textile industry.
He stated; “The former Minister of Agriculture initiated the creation of the cotton corporation, but he had a rivalry with the Minister of Trade that said establishing the corporation falls within his domain.
“That was how the whole matter was stalled at the Federal Executive Council. The absence of regulation makes everyone to fix prices that they want across the value chain. If you go to Chad, you cannot just buy cotton. It is regulated by their government. We will prefer that local usage of cotton is given preference before export.”