Mojtaba
Khosrowtaj, advisor to the CEO of PGPIC, unveiled the initiative at the Third
Iran-Africa Cooperation Summit. He emphasized that the strategy draws on the
experiences of countries with successful African trade relations and focuses on
sustainable growth, local value creation, and trust-building measures.
PGPIC currently
produces 46 million tonnes of petrochemical products annually, including 26
million tonnes of hydrocarbon products and 2.6 million tonnes of olefins. With
ongoing development projects, production capacity is expected to rise by an
additional 4.6 million tonnes. The company also produces 2.5 million tonnes of
polymers annually, with future plans to add 5.3 million tonnes of polymer
output.
"Iran not
only has the capacity to supply petrochemical feedstock but also the capability
to provide machinery for the plastics and related industries," Khosrowtaj
said.
The advisor
further noted that PGPIC annually produces 4.3 million tonnes of aromatics and
about 4 million tonnes of urea, ammonia, and methanol. He highlighted LPG
(liquefied petroleum gas) as a key energy source for African markets, pointing
to the need for investment in large-scale storage facilities to support market
expansion.
Focusing on
value-added exports and joint investment, Khosrowtaj said methanol,
polyethylene, polypropylene, and aromatics could find strong markets across
Africa’s industrial sectors. He also pointed out that caustic soda exports have
already gained traction in the continent’s water treatment, food, and
pharmaceutical industries.
Drawing on the
practices of international competitors, Khosrowtaj stressed the importance of
joint ventures, regional logistics hubs, local branding, and customer
engagement to establish a firm market position. He said extending government
credit lines would be essential for Iranian firms to compete effectively.
PGPIC's
first-year plan includes market research, establishing local offices via joint
ventures, and participating in exhibitions for pilot exports. In the second
year, the company aims to sign initial contracts, open regional warehouses in ports
such as Goos and Mombasa, and launch marketing and branding campaigns.
Highlighting
structural challenges, Khosrowtaj underscored the urgent need for
infrastructure development, including direct flights, expanded shipping lines,
and improved banking channels, to reduce logistics costs and ease financial
transactions.
He also warned
that preferential tariffs used by competitors give them an advantage, adding
that Iran must negotiate similar agreements to remain competitive.
Despite the lack
of preferential trade agreements with African countries, PGPIC remains
committed to expanding its footprint. Khosrowtaj emphasized that long-term
structural programs and infrastructural investments are crucial to building
trust and securing sustainable trade relations.
“With the right
foundations in place, we can accelerate the growth of Iran’s petrochemical
exports to Africa,” he said.