Kano Textile Cluster Growth Review
- Kano, Nigeria
- 2020
- CONSULTING
ADVISE assessed the commercial viability of a textile manufacturing cluster, testing demand, input economics and the realistic ceiling for domestic and regional supply.
The challenge
Cluster promoters held strongly opposing views on whether decline reflected imports, power costs, working capital or product mismatch. Published statistics were thin and contradictory, and prior studies had been written to support predetermined conclusions. Investors needed an assessment that could withstand challenge before committing to capacity expansion.
Our approach
ADVISE built the demand picture from primary evidence, surveying buyers, traders and institutional purchasers alongside landed cost analysis of competing imports. Input economics were modelled at mill level covering power, cotton supply, labour and finance. Scenarios tested the cluster against different tariff, energy and currency conditions, and every assumption was traced to a named source.
The result
The review identified the specific product segments where local production was defensible and the segments where it was not, with the conditions required for each. Promoters redirected attention from general revival ambitions to the narrower propositions that the evidence supported. The assessment became the shared factual basis for subsequent investment discussions.
Outcomes
- Primary demand and landed cost evidence
- Mill level input economics under scenarios
- Defensible segment by segment verdict