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Chinese exporters destroy Nigerian textile industry, lament MAN, NTMA

Chinese exporters destroy Nigerian textile industry, lament MAN, NTMA

Write: Zama [2011-05-20]

MANUFACTURERS Association of Nigeria (MAN) and Nigerian Textile Manufacturers Association (NTMA), has raised alarm over the systematic and deliberate destruction of the Nigerian textiel industry and economy by unscrupulous Chinese their textile exporters and called on the Federal government to engage the Chinese government over the matter.

Textile In a joint presentation at a policy dialogue forum on Nigerian Textile, organised by the National Union of Textile, Garment Tailoring Workers of Nigeria in collaboration with Friedrich Ebert Foundation (FEF) in Abuja, MAN and NTMA, lamented that the most serious problem afflicting the textile industry in Nigeria is the unabated influx of counterfeit textiles from China.
Presenting the joint position of MAN and NTMA, Executive Secretary of NTMA, Mr. Paul Olarewaju alleged the counterfeited textile fabrics originate in China and specifically target and copy the trade marks of Nigerian textile manufacturers, ‘Made-in-Nigeria’ or ‘Made-as-Nigeria’ on the selvedge and even blatantly take SON/NIS markings to deliberately mislead consumers.
According to Mr. Olarewaju, the markets in Kano, Ibadan, Onitsha and Lagos are flooded with smuggled textiles through nation’s land borders, particularly, Niger Republic which now occupy over 80% market share.
He said: “The situation in the Nigerian Textile Industry is alarming. Unless urgent steps are taken by the government, a total collapse is imminent. The most serious problem afflicting the industry is the unabated influx of counterfeit textiles from China. There has been a sharp increase in the volume of textiles being smuggled in through our land borders, particularly via Niger Republic.
These goods originate in China and specifically target and copy the trade marks of Nigerian textile manufacturers; print ‘Made in Nigeria’ or ‘Made as Nigeria’ on the selvedge and even blatantly take SON/NIS markings to deliberately mislead consumers. The markets in Kano, Ibadan, Onitsha and Lagos are flooded with smuggled textiles which occupy over 80% market share. The Federal Government is urged to engage the Chinese authorities by drawing their attention to the serious damage caused by the trade malpractices of their textile exporters to the Nigerian economy. Federal enforcement agencies such as Customs and Standard Organisation of Nigeria (SON) should be tasked to take effective measures against faking and counterfeiting of Nigerian manufacturers’ trade marks.
The Textile sector is a strategic non-oil industry in Nigeria. A basic industry that almost all countries have as their first industrial activity and most developing economies show a high degree of self-sufficiency for textiles and garments. An industry which uses maximum indigenous raw materials — Cotton. An employer of 200,000 workers in 1985 now reduced to 24,000 workers and a million indirect people — cotton growers and labour. The second largest textile industry in Africa (after Egypt). On a replacement basis the present installed textile manufacturing capacity in Nigeria represents a US$2 billion investment. There is a huge potentials to create thousands of jobs in the garment sector if the textile industry is allowed to survive.”
Given details of the modus operandi of the dubious Chinese textile exporters, the Executive Secretary of NTMA, said: “Chinese companies violate intellectual property rights (IPR) of Nigerian textile manufacturers by specifically targeting popular Nigerian textile companies and counterfeiting their trade marks on the material produced in China and destined for Nigerian market. Several Nigerian and international laws are broken to gain illegal market entry to the detriment of Nigerian textile industry in particular and economy in general. The faking of trade marks is done to mislead Nigerian consumers into buying counterfeits of genuine materials at cheap price by evading duties and taxes due to the government.
Chinese companies target popular Nigerian textile companies and counterfeit their trade marks which are printed on the cloth selvedge. Made in Nigeria or Made as Nigeria is printed on the cloth selvedge and labels to falsify country of origin declaration. Chinese textile companies even openly display the Nigerian manufacturers’ trade mark on their websites to attract potential importers. There is an urgent need to draw the attention of the Chinese authorities to the serious damage caused by their exporters to Nigerian economy.”
“Federal Government of Nigeria should make an official complaint to the Chinese authorities about the trade malpractices followed by Chinese companies and which are destroying Nigerian economy. ECOWAS Commission should be also urged to lodge a complaint as these goods are circulated in West Africa through land borders. Chinese authorities should be urged to inspect their textile mills which counterfeit Nigerian trade marks, falsify country of origin and fake SON quality standard marks. Chinese authorities should be urged to make pre-shipment inspection compulsory for export of African Prints to check non-compliance.
Nigerian enforcement authorities should seize and destroy textiles which fake Nigerian manufacturers trade marks and falsify country of origin and quality certification markings on labels/selvedge. Chinese Government. The Chinese authorities need to be engaged by drawing their urgent attention to the serious injury caused by their companies on Nigerian economy. The Federal Government should seize this opportunity. China has been promoting itself as a partner for Africa’s development. China is energy hungry with insatiable appetite for Nigerian oil and minerals. China wants to participate in African infrastructural development. Above all, China wants to project an image as a responsible nation which abides by rule of law and play by WTO rules.”