Yahya Al-Ishaq in an interview with NIPNA:

“Being Fair, Petrochem Industry is Performing Well”

(Sunday, October 18, 2020) 17:41

TEHRAN (NIPNA) -- Yahya Al-Ishaq praised the activities of the National Petrochemical Company and stressed the need for further development in the diversity of petrochemical products.

In an interview with NIPNA, the head of the Iran-Iraq Joint Chamber of Commerce, Industries, Mines and Agriculture, examined the current status of the country's oil and petrochemical industry, praising the progress of the petrochemical industry despite the US sanctions and embargoes.

“The petrochemical industry has performed well in the face of sanctions,” he insisted.

The former Iranian Minister of Commerce said: "We have advantages in relation to oil and gas related industries given that our oil and gas reserves are ranked second and third in the world. On the other hand, we have a hundred years of experience in this industry. The cost price of products is also considered a good price compared to the consumer market. We can make a good profit for the country by extracting oil and gas and turning it into various products. The benefit of these products is that the whole world needs them. Petrochemical products are no exception to this principle. Regarding this industry, we have a very special situation, both in terms of resources and investment, as well as the presence of local experts. Therefore, if this industry is properly managed and its productivity is such that we supply the best product in terms of quality, we will get better results.”

He said: "Currently, the status of the petrochemical industry in the country is such that due to the technological position of this industry, we can produce some materials and intermediate items. This is while "final products" have several times more value added compared to the "intermediate products". Some of our products are now sold as the final product for other products - about $500 per ton. The problem is that after export, that product will become the raw material of other products, which we have to import at a higher price due to production restrictions. Of course, there are various reasons for this, including sanctions. Development in the diversity of petrochemical products should be considered more than ever.”

He added: "In the field of manufacturing equipment, parts and production line, there is a kind of dependence that certainly with the power of the petrochemical industry, these problems can be upgraded and resolved.”

Al-Ishaq stated: “During Mr. Zangeneh's administration, good efforts were made and the results were achieved. In South Pars, we see that our contractors have acted in many areas and have completed good activities. In some fields, the country's contractors are implementing projects. In the field of gas transmission services, we also know many good companies in the country. The same is undoubtedly the case in the petrochemical industry. We should not be unfair; Good efforts have been made in the industry. The problem with the petrochemical industry is that it is capital-intensive. We need a lot of capital to start such an industry.”

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