The Manufacturers Association of Nigeria (MAN) has announced that Dangote Petroleum Refinery & Petrochemicals’ new polypropylene production will help revive Nigeria’s struggling textile industry and reduce the country’s reliance on imports.
Speaking on Channels Business Incorporated, MAN’s Director-General, Segun Kadir-Ajayi, explained that the textile industry, once a major employer in northern Nigeria, has suffered due to the lack of locally produced polypropylene and the high cost of importing it.
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Many companies have shut down because they cannot afford to buy the material from abroad.
Currently, Nigeria imports 90% of the 250,000 metric tonnes of polypropylene it needs every year.
However, with Dangote’s production, the country will not only meet local demand but also become an exporter, bringing in foreign exchange and strengthening the economy.
“This is great news for manufacturers. It will impact several industries, including textiles, plastics, and furniture. By producing locally, Nigeria will save about $267 million in foreign exchange that was previously spent on imports. This will also encourage more investment in manufacturing,” Kadir-Ajayi said.
Dangote’s $2 billion petrochemical plant in Ibeju-Lekki, Lagos, is designed to produce 77 types of polypropylene.
With a production capacity of 900,000 metric tonnes per year and an expected annual revenue of $1.2 billion, the plant aims to support plastic industries in Africa and beyond.
The project is expected to create jobs, attract investment, reduce Nigeria’s foreign exchange spending, and boost economic growth.