Cotton as a major cash crop, is of considerable social and economic importance to Nigeria. Cotton is used to make a number of textile products.
In addition to the textile industry, cotton is used in fishing nets, coffee filters, tents, explosives manufacture (see nitrocellulose), cotton paper, and in bookbinding. The first Chinese paper was made of cotton fiber. Fire hoses were once made of cotton.
The cottonseed which remains after the cotton is ginned is used to produce cottonseed oil, which, after refining, can be consumed by humans like any other vegetable oil. The cottonseed meal that is left generally is fed to ruminant livestock; the gossypol remaining in the meal is toxic to monogastric animals. Cottonseed hulls can be added to dairy cattle rations for roughage.
Figures obtained from the National Bureau of Statistics indicates that Nigeria earned about N305.1billion within the first three months of 2013 and about N 16.44 billion is from cotton yarn. Foraminifera Market Research through this feasibility seeks to highlight the investment opportunity in the export of the commodity.
Cotton is an enormously important commodity throughout the world due to its numerous uses. They are in great demand and this opens an opportunity for interested investors to export the product.
The return on investment on the export of cotton lints is estimated between 10%- 15%.