The Manufacturer Association of Nigeria (MAN) has said that the increased local production of polypropylene in Africa’s most populous country will help build a competitive textile industry.
Segun Kadir-Ajayi, director general of MAN in a recent interview on Channels Business Incorporated Programme, said the addition of about 900,000 tons of polypropylene by Dangote refinery will save Nigeria $267 million of imports.
“We believe that Dangote polypropylene coming into the market will ensure that we have a lowering of prices as it will boost local production. It has been demonstrated in the petroleum sector,” he said.
“We should also see this as creating competition in the domestic environment, which should see to the lowering of the cost in that sector,” he explained.
“We are seeing this as an addition to building a competitive textile industry, and of course by extension the garment industry in Nigeria,” he added.
According to him, Nigeria imports 90 percent of its polypropylene needs and ranks 28th among top importers of the commodity.
He puts the country’s annual polypropylene needs at the 250,000 metric tons, noting that the coming on board of Dangote polypropylene will move the country from a net importer to exporter of the commodity.
“NNPC has a capacity for 13,000 of polypropylene and when you add this to what Indorama has and the huge supply that we are going to have from the Dangote Refinery, effectively, we have become a net exporter of polypropylene,” he said.
He noted that the country’s textile industry, which was once a thriving sector in Nigeria, has faced numerous challenges in recent years, including high production costs, inadequate infrastructure, and stiff competition from imported textiles.
However, he said with the local production of polypropylene, manufacturers will no longer have to rely on imported polypropylene, which will help reduce their costs and increase efficiency.
“We have seen the global trend of the textile industry relying on the petrochemical industry. So, you can imagine what boost this is going to bring to the sector,” he said.
“And that it is now available locally and does not require that we continue to look for foreign exchange to be able to meet our demands. It is actually a cheering news for manufacturers,” he said.
He urged the federal government to support manufacturers through incentives, saying it will drive more investments in the sector and boost manufacturing contribution to GDP.
The latest data by the National Bureau of Statistics (NBS) revealed that the country brought in the product valued at N230.97 billion in 2024, placing it at number 12 on the top 15 products imported by Nigeria from the rest of the world.
According to him, the development will help boost manufacturing growth and help the country attain its targeted $1trillion economy and create new job opportunities while increasing export earnings.
Polypropylene, a versatile plastic used in a wide range of applications from packaging and textiles to automotive parts and medical equipment, is currently imported in large quantities by Nigerian manufacturers.
It’s often preferred over materials like cellophane, metal, and paper due to its flexibility, durability, and cost-effectiveness.
It is also used in food and confectionery, tobacco, and clothing industries in flexible form while in rigid form, polypropylene can be found in caps, closures, pallets, crates, bottles, JIT storage solutions, and containers for products like condiments, detergents, toiletries, and yogurt.
Source: businessday
