The Central Bank of Nigeria, CBN, on Monday commenced the distribution of cotton seeds and other inputs to farmers in Katsina State.
This according to the CBN is done in order to revive Nigeria’s moribund cotton, textiles, and garments sector.
To encourage local textile production, the apex bank also threatened to blacklist individuals, banks and companies involved in illegal textile importation.
Over 100,000 farmers collected the cotton seeds during the national flag-off of distribution of seeds/inputs to farmers for the 2019 planting season.
The CBN governor, Godwin Emefiele, who opened the distribution of the seeds said the exercise will help improve cotton production in the country from about 80,000 tonnes in 2018 to over 300,000 tonnes by 2020.
Mr Emefiele said the support of the bank to cotton production was part of the commitment to consolidate on the gains of the restriction of foreign exchange allocation on finished textiles and 42 other items in the country.
The CBN governor identified insufficient cotton seeds as one of the major challenges cotton farmers face in the country.
He said the bank sought to change the narrative on the cotton and textile industry in Nigeria through the distribution of high yielding cotton seeds to farmers.
The provision of seedlings to farmers cultivating over 200,000 hectares of farmland, along with extensive training on proper farming techniques, will boost the production of high-grade cotton lint from the current rate of less than one tonne to about four tonnes per hectare.
Also, he said, the move would reduce the amount spent by Nigeria on imported textiles and ready-made clothing estimated at about $4billion annually.
Mr Emefiele said the package included fertiliser, pesticides and knapsack sprayers, while the National Cotton Association of Nigeria will ensure compliance of its members with the stipulated terms for the support to be provided to farmers.