Nigeria has been unable to tap into the world cotton market estimated at $38.45 billion last year, says a Nation Online report. As per a Research and Markets report, the global cotton market is expected to hit $46.56 billion by 2027, with a compound annual growth rate (CAGR ) of 2.74 per cent within this period.
The Africa Cotton Market is expected to register a CAGR of 3.5 per cent from 2020-2025. The West Africa region comprises 12 cotton-producing countries, namely Benin, Burkina Faso, Cameroon, Central African Republic, Chad, Côte d’Ivoire, Ghana, Mali, Niger, Nigeria, Senegal, and Togo. It produces about 2.5 million tonne of cottonseed, which is 5.8per cent of global production.
As per International Trade Centre statistics, Nigeria exported 3,108 tons of cotton seeds at $2.104million in 2020. The Central Bank of Nigeria (CBN) is working hard to increase cotton production. This year, the bank launched the Anchor Borrowers program that benefitted almost 130,000 cotton farmers.
