Nigeria’s cotton, textile and garment industry continued its downward trend in 2025, with its contribution to Gross Domestic Product (GDP) declining to N4.384 trillion, representing a 3.6 per cent drop between 2023 and 2025, according to data from the National Bureau of Statistics (NBS).
Figures show steady contraction over three years — from N4.548 trillion in 2023 to N4.476 trillion in 2024, before sliding further in 2025 — reflecting mounting structural challenges and weakening output in the sector.
Once a dominant economic pillar with over 180 textile mills in the 1980s, the industry now has fewer than 20 operational mills, as manufacturers grapple with high production costs, unstable power supply, foreign exchange constraints and competition from cheaper imported textiles.
Industry operators say the difficult business environment has forced many firms to scale down production or operate below capacity, resulting in an estimated N164 billion loss in output value over the two-year period.
Amid the decline, the federal government has introduced measures to revive the sector, including the Nigeria Industrial Policy 2025 and the establishment of a Cotton, Textile and Garment Development Board, while labour unions have welcomed the initiatives as steps toward industrial recovery.
