NIGERIA’S ongoing marginalisation within the global textile industry took a turn for the worse this week when Pakistan announced that it has launched a n audacious raid on the world market by acquiring a US manufacturing company.
With the purchase of raw materials by industrialised countries on the decline as a result of the economic slowdown precipitated by the coronavirus pandemic, developing nations are having to resort to processing primary commodities and manufacturing. Textiles is one sector where several developing nations are making huge strides.
India, Pakistan, Mexico and Vietnam have all stepped up the production of textile products lately, not only meeting domestic consumption through local output but also turning the sector into a major foreign exchange earner. Vietnam is expected to generate $39bn from textile exports this year, while Pakistan raised $12.5bn from exports last year.
In Nigeria, the industry in contrast is in crisis, as last month, the United Nigerian Textile Mill Limited made 3,000 workers redundant in Kaduna. A company spokesman said that despite the economic hardship it faced, it kept the workers on its payroll for over a year without work as the plant has not been in production for the past two years due to high exchange rates.
Pakistani mill Artistic Milliners in contrast has just acquired a manufacturing facility in the US, which is intends to use as a platform for an aggressive attack on the American clothing market. Abdul Dawood, a spokesman for Pakistan’s prime minister on commerce and investment congratulated Artistic Milliners on the development.
He said: “It is with great interest that I read that Artistic Milliners has acquired a manufacturing facility in California. I wish Artistic Milliners every success.”
Mr Dawood encouraged Pakistani companies to go global through acquisitions, pointing out that them formally reaching out across the globe, is a welcome sign. He added: “Our local companies should acquire overseas companies and brands through proper channel, as it increases outreach in the global market and thereby increases our market share.”