Landmark public-private partnership set to transform Nigeria’s textile industry, create over 400,000 jobs
In a bold stride toward industrial transformation, the Ogun State Government has sealed a landmark partnership with Arise Integrated Industrial Platform (IIP)—an Indian-headquartered multinational—to establish what is poised to become the world’s largest garment manufacturing facility.
With an investment of between $2 billion and $2.25 billion, the project is set to reshape Nigeria’s textile industry, revive cotton farming, and firmly position Ogun State as a new epicenter of Africa’s industrial renaissance.
A Strategic Location for Industrial Excellence
The mega factory will be sited within the Special Agro-Processing Zone at Ogun Airport City, with a groundbreaking ceremony scheduled for September 2025. The location, carefully chosen for its proximity to major seaports, airports, and energy corridors, underscores the strategic intent behind the initiative.
A dedicated Joint Project Implementation Team—comprising officials from the Ogun State Government and Arise IIP—will oversee the project’s rollout, managing key timelines, logistics, and multi-sectoral stakeholder coordination.
Unprecedented Scale and Economic Impact
Governor Dapo Abiodun, while hosting executives from Arise IIP and the African Export-Import Bank (AFRIXEM) at the Governor’s Office in Oke-Mosan, described the development as “game-changing.” The facility, he revealed, will produce up to 1,000 tons of garments daily, directly employ between 120,000 and 150,000 workers, and indirectly create over 300,000 additional jobs across agriculture, logistics, transportation, and services.
The ripple effects, he emphasized, will be felt nationwide—stimulating agricultural demand, boosting exports, and energizing the state’s economy.
Reviving Cotton Farming through Backward Integration
Central to the project is a backward integration model focused on cotton cultivation. The Ogun State Government has already earmarked 10,000 hectares of farmland for cotton production. A robust cotton growers’ association has been formed, while Arise IIP will supply premium cotton inputs. Local farmers will serve as outgrowers under secure offtake agreements—guaranteeing supply, pricing stability, and market access.
Governor Abiodun noted that Ogun produces some of Nigeria’s highest-quality cotton, making it a prime location for textile-led industrialization.
Investor Confidence in Ogun’s Business Climate
Mr. Gagan Gupta, President of Arise IIP, commended the Ogun State Government’s proactive stance, highlighting the state’s favorable investment environment as key to their location decision. “Nigeria is fully equipped to become Africa’s textile hub,” he said, reaffirming Arise IIP’s commitment to delivering the project at full scale.
Supporting this, Mr. Raja Rajaburu, CEO of ATMS, confirmed the group’s readiness to inject the entire capital value into the venture. Mr. Arvind Mathor, CEO of Textiles at Arise IIP, added that the garments produced in Ogun will serve both local markets and be exported competitively across ECOWAS countries, boosting Nigeria’s foreign exchange reserves.
Federal Support and National Policy Alignment
While Ogun leads the implementation, the Federal Government’s role in creating an enabling macroeconomic environment has been vital. Through initiatives like the Nigeria Industrial Revolution Plan (NIRP), the National Cotton, Textile, and Garment (CTG) Policy, and key export incentives, the federal administration has laid a strong policy foundation for investor confidence.
Governor Abiodun specifically praised President Bola Ahmed Tinubu for ensuring policy stability and fostering a climate that could attract multi-billion-dollar investments. He acknowledged the instrumental roles played by AFRIXEM Bank, the Nigerian Export Promotion Council, the Nigeria Customs Service, and the Nigerian Investment Promotion Commission.
A New Industrial Dawn for Ogun and Nigeria
The socio-economic implications for Ogun State are profound. In addition to job creation, the project promises to:
- Revitalize rural economies through agriculture
- Boost internally generated revenue (IGR)
- Catalyze youth empowerment via skills training and technology transfer
- Attract foreign direct investment (FDI)
- Strengthen Nigeria’s non-oil export base
More than a factory, the project stands as a symbol of sustainable industrialization and inclusive growth. It marks a turning point in Nigeria’s bid to diversify its economy and regain global textile competitiveness.
Conclusion: Weaving Africa’s Industrial Future
This groundbreaking collaboration between Ogun State and Arise IIP—anchored by federal policy and international financing—sets a new benchmark for public-private partnerships in Nigeria. It represents not only the revival of the textile industry but the emergence of Ogun as a leader in innovation-driven, job-rich, and export-oriented industrial growth.
With bold vision, strategic planning, and effective governance, Ogun State is set to weave the fabric of Africa’s economic future—one garment at a time.