Can cotton power Africa's industrialisation?

Cotton has long been seen as a key driver for industrialization in Africa, but progress in harnessing the potential of the sector has been slow. While Africa produces a significant portion of the world's cotton, the majority is exported in its raw form, with minimal processing on the continent. This limits the value generated from cotton and leaves African economies reliant on imports of processed textiles.

To address this, several West African countries have launched the Partnership for Cotton, a regional initiative to build a textile corridor that will allow cotton to be processed in multiple participating countries. The goal is to increase local processing from the current 12% to 25% by 2035, creating jobs and value-added textile products.

However, reliable access to profitable markets remains a challenge, particularly with the uncertainty surrounding the US's Africa Growth and Opportunity Act (AGOA). Until this trade pact is clarified, African firms may be hesitant to make long-term investments in the textile sector. The Partnership for Cotton hopes to overcome these obstacles by expanding local processing capacity and creating a more integrated regional value chain.