Why Nigeria’s Cotton Production Suffers Setback – NACOTAN

Cotton, historically vital to Nigeria’s economy, has faced decline due to factors like inadequate support, financial constraints, and ginnery closures. This has led farmers to switch to other crops, causing loss of income and increased reliance on cotton imports. Despite government efforts, such as listing cotton in the anchor borrower program in 2018/2019, sustained production has been elusive post-intervention. The National Cotton Association of Nigeria (NACOTAN) advocates for sector revival, proposing dry-season expansion supported by research institutes. Contrary to popular belief, pricing isn’t the main issue; instead, targeted subsidies are crucial for boosting production. With strategic intervention, including subsidies over loans, and research-driven initiatives, the cotton sector can rebound, ensuring sustainable growth and economic recovery. Source: Daily Trust

Our Review

The decline of Nigeria’s cotton sector, once a cornerstone of its economy, poses multifaceted challenges, from poor interventions to ginnery closures, leading farmers to switch crops. This shift jeopardizes national income, forcing reliance on costly cotton imports. Despite past successes like the anchor borrower program, discontinued interventions hinder sustained growth. Efforts by the National Cotton Association of Nigeria (NACOTAN) to revive the sector through innovations like dry-season production require research institute support. Contrary to misconceptions, pricing isn’t the primary issue; strategic subsidies, not loans, are vital for boosting production. Urgent government action is needed to prevent further decline, ensuring a robust cotton industry and economic resilience.