Ban on imported textile will affect will cause unemployment - ANLCA chieftain

Tayo Oladipupo |

The recent ban on importation of textile and clothing materials by the federal government into the country will degenerate into unemployment as local business men and women will be affected by the policy, a clearing agent has submitted.

Mr Frank Aliakor, a chieftain of the Association of Nigerian Licensed Customs Agents (ANLCA) said this in a chat with newsmen in Lagos.

Aliakor called on the federal government to revisit the policy banning importation of textile and clothing materials, saying the textile industry in Nigeria is not ripe enough to meet the demands of the people.

Recall that the federal government through the Central Bank of Nigeria (CBN) last week Tuesday, added textile to the list of 41 items ineligible to officially source foreign exchange (forex).

He added that the government over time has clamoured for local production of Nigerian commodities but the dream is still far from reality.

According to him, most of the prohibited items are still imported into Nigerian markets, noting that there must be room for dialogue with the stakeholders before meaningful decisions are taken.

The ANLCA chieftain lamented that the textile manufacturing sector has suffered setbacks due to lack of electricity and sourcing for materials which cannot be addressed or resolved within a year.

He maintained that the process of restricting textile materials would have to undergo a process and not just an overnight decision.

He described the restriction on textile materials in sourcing forex as anti-people, calling on the federal government to look inward to engage stakeholders in proffering solutions to the issue on ground.

Aliakor stated that a large number of importers will be out of business based on the new directive, which he added would throw millions into the labour market.

He added that traders of textile materials in the local market will be affected immensely, adding that they will be out of business under the new policy.

He noted that the levy and duty imposed on textile material had discouraged shippers from importation of textile materials; hence the need to review the policy is key.

He argued that the flagship port in Nigeria must be encouraged to attain a user port friendly for the consumer patronage saying, “We want the Apapa and Tin Can Island to be user friendly ports because importers are paying taxes exorbitantly to government.

“The multiple taxation is affecting importers and this has its effect on the final consumers.

“The ports must user-friendly to importers and agents because most of us are not finding it easy to access the ports and government needs to intervene immediately”, he added.

Reports suggest that 85% of the local textile manufacturing companies are out of business due to lack social amenities as the government has failed to provide necessary facilities to revamp the industry.