Ogun State has sealed a strategic partnership with Arise Integrated Industrial Platform (Arise IIP) to establish a massive $2 billion garment manufacturing hub, which is projected to become one of the largest textile production facilities in Africa. [Source: The Guardian]
The facility will be situated within a Special Agro-Processing Zone near the Gateway International Agro-Cargo Airport in Iperu, marking a pivotal step in Nigeria’s ongoing industrialization and job creation efforts.
Partnership Announcement and Financial Backing
The plan was confirmed after a high-level meeting in Abeokuta, involving Governor Dapo Abiodun, senior executives from Arise IIP, and representatives from Afreximbank, which is providing financial and technical support for the project.
A joint implementation committee has been set up to fast-track key milestones, remove bureaucratic roadblocks, and lay the groundwork for a groundbreaking ceremony scheduled for September 2025.
Project Scope and Capacity
According to preliminary projections from Arise IIP and the state government:
- The hub will produce up to 4.4 million garments daily.
- It will process 1,000 tons of cotton per day.
- It is expected to create between 120,000 and 150,000 direct and indirect jobs.
- Additional employment opportunities will arise in logistics, transportation, retail, and auxiliary services.
This scale of production and employment is seen as transformative for Nigeria’s textile sector and for the economic ecosystem of Ogun State.
Agricultural Support: Cotton Farming and Local Integration
To support raw material needs, 10 hectares of land have been earmarked for cotton cultivation, with more parcels to follow under a local outgrower scheme.
Local farmers will be engaged through guaranteed offtake agreements, ensuring that the value chain is fully integrated from cotton farming to garment production. This model is expected to reduce Nigeria’s dependence on textile imports and promote local value addition.
Arise IIP’s Pan-African Vision
Arise IIP, which has already developed major industrial projects in Gabon, Benin, and Togo, will lead the design, construction, and management of the facility.
Its President, Gagan Gupta, stated that the goal is to build a competitive and sustainable textile ecosystem in Nigeria—one that can cater to both domestic consumption and export markets, particularly within the ECOWAS trade region.
Supporting this vision were industry leaders such as Arvind Mathur, Global Head of Textiles at Arise, and Raja Rajaburu, CEO of ATMS, who highlighted the hub’s ability to reposition Nigeria as a regional textile powerhouse.
Infrastructure Synergy and Statewide Industrial Growth
This initiative is part of Ogun State’s broader strategy to drive industrial growth, job creation, and economic diversification through manufacturing and agro-processing.
Governor Dapo Abiodun emphasized that the garment hub aligns with national efforts to revive Nigeria’s struggling textile industry, which once ranked among the country’s largest employers but declined due to poor infrastructure and policy inconsistencies.
Ongoing Infrastructure and Investment Projects in Ogun
The garment facility joins a growing portfolio of industrial projects reshaping Ogun’s economic landscape:
- In April 2024, Nigerian Breweries commissioned a $50 million brewery expansion in the state.
- The Sagamu Interchange Industrial Cluster continues to draw multinational players like Nestlé and Coleman Wires, thanks to upgraded transport links and its proximity to Lagos.
- Aliko Dangote recently submitted plans to build a deep seaport in the Olokola Free Trade Zone, which could become Nigeria’s deepest and largest port.
To support these projects, the state government is investing heavily in road, airport, and energy infrastructure. The Gateway Agro-Cargo Airport, now 80% complete, will provide both passenger and dedicated cargo services tailored for industrial users.
Ogun also recently began construction of the 100km Ilishan-Remo to Abeokuta dual carriageway, enhancing logistics efficiency and regional connectivity.
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