After N100 billion naira federal government intervention in the
textiles industry, Nigeria’s second biggest employer of labour after the
federal government is not only in ruins but has recorded 3 million job
losses countrywide and 2, 800 deaths of workers in 14 years, this is
just in one city alone.
Nigeria’s textiles factory is said to have
employed about 3 million Nigerians in direct job from the production of
cotton to the weaving, spinning and printing of textile materials. The
industry also contributed hugely to the revenue bases of governments
across the country and created hundreds of thousands of indirect jobs to
Nigerians.
So far, about 2, 800 workers of Kaduna Textile Ltd
(KTL), Arewa Textiles Plc, United Nigerian Textile Plc, Supertex, Nortex
Nigerian Ltd and Finetex Nigerian Ltd all located in Kaduna have so far
lost their lives waiting the payment of their entitlements in the last
14 years.
The national embarrassment continued even with
successive administrations moving on without blinking an eye to the
decaying infrastructure that took hundreds of billions to install.
The
whole span of textile production in Nigeria is now a cold grave yard of
machines. Worst hit are the northern states that heavily relied on the
now moribund. Like a wreckage of the Second World War Nazi Germany
machine factory, all but a few textiles factory northern states are at
mercy of corrosion.
At the peak of operation, 8 factories in
Kaduna, reports say employed over 30, 000. There were about 18 factories
in Kano with as many as 120, 000 jobs. In Lagos, about 60 factories
with 250, 000 jobs and textile cities that include Guzau, Portharcourt,
Aba, Asaba are said to have employed as many as 25, 000 workers.
Like
a plague that is incurable, the glory days of textiles came to a
painful end 14 years ago when most of the factories were shut down due
to factors beyond their control.
The pathetic state of Arewa
Textiles Plc and Kaduna Textile Limited is worrisome as the factories
have been over taken by grass. The roof of factory keeps collapsing
daily exposing the multibillion naira machines to rains and corrosion.
LEADERSHIP
Weekend learnt that men of the Nigeria police are having a herculean
task keeping the remains of the equipment at the site safe as vandals
are carting away machine parts on a daily basis.
A resident of
Kakuri in Kaduna told LEADERSHIP Weekend that several thieves have been
gunned down by the police for attempting to steal vital machine parts
from moribund Arewa Textiles.
The sad situation is also seen at
other factories suchas Nortex, SuperTex, Unitex and Chellco Industries
within the Kaduna industrial area.
At the height of the boom of
textiles in northern cities of Kaduna, Kano, Funtua and Gusau not a few
young people turn down jobs in banks, civil service and interestingly
oil firms for textile garment jobs.
LEADERSHIP Weekend findings
revealed that some of the workers of the already moribund textiles
factories turned down job offers by Chiyoda, the Japanese firm
contracted to build the Kaduna Refinery in the late 1970s and early 80s
because of the irresistible incomes textile jobs offered.
A decision many regretted two decades later even to their graves as the fortunes of the factories turned for the worst.
Since 2002 most of the
textiles factories in the north were out of business leaving thousands
of its workforces without a job. The ripple effect of the downturn of
event at these factories was a tsunami of a sort leaving thousands of
suppliers, food vendors and traders with nothing to fall back to.
The circle of grief was encompassing as the impact on the immediate community was well felt in all parts of northern Nigeria.
“My
husband died and left me with six children that I am taking care of. My
husband and I usually farm for people and when he died I continued the
work as a hired farmer. I break firewood for people as well. But the
money I make cannot take care of me and my family,” said Mary Adah, a
widow whose husband died out of frustration for working for 34 years
without an entitlements.
Another Widow who lost her husband as a
result of hypertension, Mary Audu said “my Children and I survives on
the little money I make from washing plates at a restaurant. The money I
get from the effort cannot sustain the family. Two of my children have
dropped out of school because I can’t continue paying their school fees
and there is nobody to help me.” And so the story of the thousands
affected continues.
Textiles union leaders under the Coalition of
Closed Unpaid Textiles Workers, Kaduna State chapter, posited that over
2,800 workers of the shutdown textiles companies and family members have
so far lost their lives.
Chairman of the Union, Comrade Wordam
Simdik said since 2002 to 2004 when KTL, Nortex and Finetex and Arewa
Textiles were shut down, death has not stop visiting workers and family
members of the closed industries.
According to Simdik, “many
living members of the coalition have also developed one sickness or the
other, which are likely to lead to more deaths if nothing is urgently
done to salvage the situation.”
He said, the 600, 000 people have since been rendered jobless now live in penury, anger and pains.
Simdik
said most children of the former textiles workers are roaming the
streets like beggars, while often times they get involved in anti-social
vices and other criminal activities. Many of the ex-workers have also
been driven from their homes by their landlords, while others got
divorced by their wives.
Difficult Operating Conditions For Funtua Textile
Arguably,
one apt way to describe the Funtua Textile Industry, the only textile
industry still in active production in the north, is to say that it is
surviving against all odds.
The Funtua textile was established in
1978 essentially to make effective use of the cotton which is grown in
large quantity at the Funtua region of the state and importantly,
contribute to the growth of the economy.
Situated in the ancient
and indeed, historically relevant city of Funtua from where it derived
its name, the Funtua textiles has contributed to the economic
development of the state in more ways than one.
Funtua is cotton
growing region and it was a general believe that having the textile
industry located in Funtua as it rightly is, will help greatly in
effective use of the cotton aside from further boosting the economy of
the area, and the state at large. Interestingly, the Funtua Textile is
the only integrated industry in Katsina State as it starts from the
ginnery to finish product. The company purchases cotton from the
merchants, gin it, turn to yarn, turn it to fabric, dye it and sell or
sell the fabric for other materials.
It was observed that the
major products of the company are T.C Rolls, Dye-Shirting and Gray Baft
which is often sold to the sister company, UNTL in Lagos.
It has
initial staff strength of 1500 which grows up to around 2500 but the
current staff strength is 750. A visitor to the company which is located
at the Mairuwa area of Funtua will no doubt marvelled at the zeal at
which workers and indeed, management of the company carry out their
work.
LEADERSHIP Weekend observed that after four decades of
existence, difficult operating conditions has continued to impede
successful growth of the company even as its continued existence as a
viable business entity is being threatened.
Head of human
resource, Funtua textile, Ibrahim Muazu Isa told LEADERSHIP Weekend that
the company which is in “dire strait in that there is no market for
products, our machines are obsolete and we have problems of power,
multiple taxation and other teething challenges”.
Isa further said
“but in spite of all these, we have been in production as we have never
shut for one day right from our inception”. He confirmed to our
correspondent that initially, the company produces twelve thousand
metric tonnes of gray baft but at the moment, the production capacity is
less than seven thousand metric tonnes and attributed the obvious
backward movement of the company to harsh operating conditions.
“There
is the issue of smuggling, low purchasing power because our material is
basically meant for the poor people, there are the issues of power,
water and spare parts and the banks are not helping matters,” Isa said.
Asked
if the company receives support from government, Isa said “yes we have
got indirect support from government, through Bank of Industry” but
expressed the fear that “with the change of fortune, we may not be able
to pay back the BOI loan unless we are assisted”.
The textile is
jointly owned by private individuals, northern states and Chinese
partners. The whole northern state governors have shares; some
individuals of northern extraction are also shareholders in the company.
Smuggling
and insecurity affects the company in no small measure as according to
the manager, the company’s markets from Niger, Cameroun, Cotonou has
receded as people are not coming to buy our goods from neighbouring
countries any more. “We only rely on few companies that we supply them
the Mattress cover and our parent company, UNTL Lagos which we supply
with Gray Baft”.
Kano Textile Workers In N250 million law suit
Gaskiya
Textile industry Kano has the unfortunate story of laying off over 5,
000 workers in the last decade. It didn’t live to the dream of its owner
and lenders, the defunct Bank of the North. Gaskiya textile owned by
late Kano business mogul, late Alhaji Nababa Badamasi.
In the
early 1980s, Gaskiya textile industry was commissioned by the then
Nigeria’s Head of State who is the current President of the country,
Muhammad Buhari.
The textile industry acquired bank of the north
loan of over N80 million for the establishment of the textile industry
which employed over 5, 000 workers.
Ali Baba is the textile union
secretary of the north west region, he told LEADERSHIP Weekend that in
the early 80s there were not less than 40 textile industries in Kano,
but as at late 1990s and now there are just a few in operation.
He
confirmed that the present textile industries are reduced to nothing
but producers of customised fabrics for politicians, royalties and well
to do for wedding ceremonies.
The workers however noted that the
5, 000 workers laid off by Gaskiya textile industry have their
entitlements amounting to N250 million owed by the heirs of the moribund
facility.
The union secretary also said the Kano textile
companies contributed less in the multi billion naira textile markets in
Kano, saying Chinese textile traders among other outside textile
industrialists contributed almost 99 percent of the textile products
sold.
Our check at the defunct Gaskiya textile revealed an
appalling story of the big place as the factory is now a shadow of
itself or as others called it ‘ghost town’.
LEADERSHIP Weekend
observed that the administrative buildings have become den of small and
big rats as well as snakes especially at the rainy season.
Also
observed was the almost half a kilometre long factory store which
contains varieties of machines, metal hooks and hangs rotting away.
At
the Dakata industrial area, the famous Universal textile company bear
similar look with its neighbour, Gaskiya textile. All other known
textile companies at notorious Dakata, Bompai and Sharada industrial
areas were no more operating for over ten years.
Musa Muhammad was
the former employee of both Universal and Gaskiya textile told
LEADERSHIP Weekend that among areas such Bela, Dakata and Badawa in Kano
in the heydays of textile companies with thousands of factory workers
is now a ghost town.
In 2013 the President of Nigerian Union of
Textile and Garment Workers of Nigeria, Oladele Hunsu said the Federal
Government’s N100 billion intervention fund had not revived the textile
industry due to policy somersaults and poor infrastructure.
However,
speaking on the issue, the former Minister of Trade and Investment,
Olusegun Aganga defended the then federal government that about 8,070
jobs have been saved through the disbursement of the N100 billion cotton
textile garment intervention fund.
Reports say only 38 textile
firms had so far benefitted from the fund which only little can be seen.
This has brought the question of corruption in the disbursement of the
said fund to the ailing factories to the front burner.
The federal
government in an attempt to revive the collapsed industries, instituted
N100 billion Cotton, Textile and Garment (CTG) bailout fund in 2009
which is managed and disbursed by the Bank of Industry (BOI), but till
date however, the bailout fund is yet to bring the textile mills out of
the woods.
Not a few union leaders lamented to LEADERSHIP Weekend
that the intervention fund has been problematic all along as none of the
shutdown textiles which desperately needed the money to inject life
into their factories ever got the money because loan conditions are not
favourable to the closed mills.
According to a report released by
the National Union of Textile Garment and Tailoring Workers of Nigeria
(NUTGTWN), 26 out of the 36 states in the country grow cotton of both
long and short stable lengths.
Nigeria has the potential of
producing 1.2 billion meters of cloth per annum at 6 meters per capital.
In the West African sub region, Nigeria is a natural textile
destination point in the world. The industry has the potential to create
3 million direct jobs.
In the 70s and up to early 80s, Nigeria
was the largest producer of different range of textile, garment and
carpet products surpassed in production only by Egypt and South Africa.
In
May 2015, Kaduna State Governor, Mallam Nasir El-Rufai then as
governor-elect took a tour of some of the textiles factories in Kaduna
and promised that the APC led federal government will ensure full
implementation of the ban on smuggled textile materials into the country
identified as one of the factors that led to the collapse of textiles
in Nigeria.
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