This study focuses on the determination of the impact of Nigeria’s textiles import restriction. Specifically, the study describes the structure of the global and Nigeria’s textile industries as well as the global value chain, and the policy environment surrounding the industry in a global and national perspective. The context, operation modalities and implementation issues of textiles import restriction policy were analysed. In addition, a comprehensive quantification of the total economic benefits and costs of protection was undertaken. Also, the impact of textiles import restrictions on cotton and garment sectors through price impact on output and employment was determined and analyzed. Finally, the study evaluated the external effects of protection, quantified the costs and benefits of the value of waivers and examined the issue of tariffication as an alternative measure to import prohibitions.