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By Remi Adefulu
Ms. Ololade Majekodunmi, Managing Director, House of Dorcas Integrated Services (HDI), is one of the few young women making waves in the agric sector, cultivating over 10 hectares of cotton across five states. Majekodunmi, who holds a degree in fashion and sustainable textile design and an MBA from the University of West London, speaks on her journey thus far, the Tinubu administration’s latest initiative on cotton, potentials of the industry, challenges and more.
What are your thoughts about Nigeria’s business environment?
As a Nigeria Economy Advocate, I choose to see the potential and the progress. Nigeria’s business environment has significantly improved under this administration, with a clear focus on economic diversification, infrastructure development, and policy reforms. The 2025 Roadmap has set a strong foundation for ease of doing business, digital transformation, and investment incentives. We are seeing greater engagement, policy direction, and government support for key industries, particularly agriculture, manufacturing, and energy. Challenges remain, but the commitment to reform and growth is evident. If reforms are properly executed, Nigeria’s economy will rank among the best in the world. The rest of the world sees the immense potential we often overlook, and it is time we harness it fully.
Additionally, the increased adoption of digital technology and fintech solutions has made access to funding and financial transactions easier for businesses. Nigeria’s participation in the African Growth and Opportunity Act (AGOA) and the African Continental Free Trade Agreement (AfCFTA) also opens new doors for cross-border trade, positioning the country as a major player in Africa’s economic development. Strengthening these international trade frameworks will allow Nigeria’s cotton industry to gain global market access, attracting investors looking to tap into Africa’s textile sector.
As an organisation, how are you navigating the environment?
We focus on strategic partnerships, policy advocacy, and operational efficiency. We keep ourselves updated on everything happening in Nigeria and adapt our systems and solutions to fit. Navigating Nigeria’s business climate requires adaptability, innovation, and resilience. We have leveraged technology, built strong networks, and engaged stakeholders at both government and private sector levels to mitigate risks and maximize opportunities.
How has this impacted the Agro-allied business space?
The agro-allied sector is experiencing renewed confidence due to the government’s agriculture-driven economic policies. With policies supporting local production, mechanization, and access to finance, there is a strong push toward industrial-scale agriculture and value addition. This has resulted in increased investments, job creation, and a more structured market. However, for sustained growth, public-private partnerships (PPPs) should be encouraged to drive further investments and research into modern farming techniques.
Tell us about the potential of cotton business in Nigeria?
Nigeria grows long-staple cotton, premium variety known for its superior fibre quality, as a diverse producer of raw materials for various textile applications. This diversity allows Nigeria to cater to both domestic and international markets, contributing to industries such as textile, home furnishing and industrial fabrics. Developing and taking advantage of the vast land mass in states like Kastina, Kebbi, Gombe, Niger, and Kano, where cotton farming thrives, will be crucial in expanding production. Additionally, some parts of south with loamy soil offer favourable condition for cultivation of high-quality cotton varieties, further strengthening the country’s production capacity However, due to an underutilized industry, Nigeria loses an estimated $6 billion annually, relying on textile imports despite having the resources for local production. A well-developed cotton industry could contribute over $10 billion annually to the economy, significantly reducing import dependency and boosting exports. Beyond fabric production, cotton contributes to several industries, including cotton seed oil for food and cosmetics, biofuel production, and animal feed, making it a critical commodity for industrial growth and sustainability. With fertile land, favourable weather, and a large labour force, Nigeria can establish itself as a global leader in high quality cotton production, if backed, by the right policies, investments, and infrastructure. The sector also has the potential to create over 2 million jobs across the value chain, from farming to textile processing, fashion manufacturing, and exports. Engaging youth and women in cotton farming, modern textile production, and innovative fashion businesses will further drive economic empowerment and industrial development. Historically, Nigeria was once a key player in the global cotton export market, but years of underinvestment and policy inconsistencies have hindered progress. However, with a renewed focus on sustainable cotton farming, advanced processing technologies, and international trade alignment, Nigeria has the potential to reclaim its place on the world stage.
Do you think the government is doing enough in harnessing this potential?
The government has initiated several programmes aimed at revitalising the cotton and textile industry, such as the Anchor Borrowers’ Programmes (ABP), the Central Bank of Nigeria’s
(CBN) intervention in the Cotton, Textile, and Garment (CTG) sector, and the National Cotton Development Programmes. These initiatives have helped increase local cotton production, create employment, and promote industrialisation. The federal government’s renewed focus, particularly through the Ministry of Trade and Investment, on the urgent call to revamp the cotton and textile industry is both promising and reassuring. Their approach demonstrates a commitment to revitalizing this critical sector, ensuring that Nigeria regains its competitive edge in the global textile market. However, funding models must be structured in a way that ensures efficiency and accountability. Special grants, tax incentives, and dedicated agro-industrial funds can further enhance the cotton sector’s growth. Additionally, investments in mechanization and modern processing plants will significantly improve productivity.
How far can this government go with the latest initiative on cotton?
The government has the potential to make substantial progress if implementation is well structured. However, success will depend on stakeholder engagement, proper funding mechanisms, and removing bureaucratic obstacles. Execution of the initiative is key – it must be properly implemented to yield real impact. This includes modern irrigation systems, structured farmer support, and investment in high-quality ginning technology. A key component of this modernization is investing in double roller gins, which preserve fibre strength and improve quality, ensuring that Nigerian cotton remains competitive in premium global markets. When combined with improved soil management, better seed varieties, and sustainable farming practices, these investments will significantly enhance output and economic returns. Uzbekistan, which faced similar challenges in its cotton industry, successfully transformed its sector through government-backed reforms, mechanization, and strong export policies. The country attracted $130 million in investment from the IFC and EBRD, which modernized farming and processing systems. This contributed to a 4.5% annual growth in cotton fabric exports, demonstrating how structured investment and reform can unlock long term economic gains. Furthermore, developing dedicated industrial zones for cotton processing, modernizing transport networks for logistics efficiency, and investing in state-of-the-art storage facilities will further strengthen Nigeria’s competitiveness in the cotton-to-textile value chain.
How can this dovetail into expanding our Agro-allied industry?
A well-developed cotton industry will have a ripple effect on the agro-allied sector by boosting textile production, increasing demand for agricultural inputs, and strengthening rural economies. It will also create opportunities for mechanization, value addition, and job creation across the supply chain. Cotton expansion will directly impact other agro-industries such as oil processing, feed mills, and bioproduct manufacturing, strengthening Nigeria’s position as an agricultural powerhouse.
Can Nigeria, with her potential, become an investment hub through government initiatives?
Brazil’s transformation in the cotton sector is a powerful example of how strategic investment and policy support can drive industrial growth. Over the past two decades, Brazil has expanded production from approximately three million bales to 14.6 million bales, making it the second-largest exporter of cotton globally. This success was fuelled by government – backed incentives, modernized farming techniques, and an efficient logistics system that ensured seamless processing and exports. With a strong emphasis on research, mechanization, and sustainability, Brazil has positioned itself as a major player in the global textile market. Nigeria possesses similar agricultural potential and can achieve comparable success by prioritizing investment-friendly policies, infrastructure development, and trade incentives. A well-integrated cotton-to-textile value chain, backed by sustainable farming practices and advanced processing technology, would attract global investors seeking emerging markets. With the right execution, Nigeria can position itself as a leading supplier of high-quality cotton and textiles, meeting the growing demand across Europe, Asia, and North America. However, for Nigeria to achieve this, critical enablers must be in place. Investors look for stability, security, and clear investment frameworks. Addressing power supply challenges, improving ease of doing business, and ensuring policy consistency will be key to attracting foreign direct investment into the agriculture, textile, and manufacturing sectors. Additionally, the development of the CTG Free Trade Zone in Funtua is a strategic move to boost cotton processing and textile manufacturing, offering a dedicated industrial space with favourable policies and infrastructure. This initiative will drive value addition, job creation, and export expansion, positioning Nigeria as a key player in the global textile market. The roadmap 2025 initiative is a strong starting point, providing a framework for boosting investor confidence and ensuring sustainable industrialization.
How attractive is the investment climate from the perspective of Nigerians in the diaspora?
Nigerians in the diaspora want to invest, but they need trust in the system. Issues like policy inconsistency, infrastructure deficits, and capital repatriation challenges discourage many investors. However, the outlook is getting better, and economic forecasts indicate a favourable trend for investment, particularly as government policies continue to evolve towards greater transparency and investor confidence. If the government strengthens institutional frameworks, provides investment guarantees, and fosters transparency, diaspora investments will increase significantly. There are already successful Nigerian diaspora investors in agriculture and agro processing, demonstrating that investing in Nigeria’s agricultural sector can yield significant returns. The International Finance Corporation (IFC) has also backed several Nigerian agro businesses, signalling strong confidence in the country’s agricultural potential. However, targeted incentives such as tax breaks, land access, and investment protection schemes will further encourage diaspora Nigerians to channel their capital into the cotton and textile industries.
Would you say your organisation is ready to go with the government’s latest initiative?
If given the opportunity to work with the government, we are ready to take immediate action with structured solutions that will drive measurable impact within the first year. Our plan is SMART covering everything from cotton production to processing. We are excited about the revamp initiatives and the Road 2025 Roadmap. Having worked on this for almost 10 years, we can confidently say that we have the solutions to make this sector work. We are ready to hit the ground running and show results within the first year.
Within the first year, we anticipate a measurable increase in cotton yield and processing output, supported by improved logistics and stakeholder coordination.
The Brazilian technical team has also shown commitment to supporting Nigeria’s cotton revitalization through capacity building, research collaborations, and mechanization strategies. This international partnership further strengthens our execution capacity. Their expertise in large-scale cotton farming and sustainable fibre production will be instrumental in advancing Nigeria’s cotton value chain. We are fully prepared. We have the expertise, partnerships, and industry knowledge to drive the success of the initiative. However, for this to be effective, there must be a genuine commitment from the government as we can see now through the released roadmap, to ensure proper infrastructure, and eliminate bureaucratic roadblocks.
What are your final thoughts?
Nigeria has unlimited potential, and this administration’s pro-business stance, commitment to economic transformation, and the Road 2025 initiative have created a more favourable investment climate. Achieving sustainable growth in the cotton and textile sector will require multi-stakeholder collaboration, including government bodies, private sector partners, and international investors. By prioritising infrastructure development, funding accessibility, and policy consistency, Nigeria will solidify its position as an economic powerhouse. If we continue strategic partnerships, sound policymaking, and transparent governance, Nigeria will become a leading economic hub in Africa and one of the strongest economies in the world.
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