Khosrowtaj
emphasized the importance of establishing infrastructure, strengthening banking
ties, fostering joint investments, and building trust to effectively access and
develop African markets. He noted that the export strategy was modeled on the
successful practices of countries with established trade relationships on the
continent and prioritizes sustainable growth, local partnerships, and
value-added production.
PGPIC currently
produces 46 million tons of various petrochemical products annually, including
26 million tons of hydrocarbon-based products and 2.6 million tons of olefins.
With ongoing development projects, the company expects to add an additional 4.6
million tons to its output capacity. It also produces 2.5 million tons of
polymers annually, with plans to increase this by a further 5.3 million tons.
The advisor
highlighted Iran’s capability not only in supplying petrochemical feedstock but
also in manufacturing equipment for plastic and related industries. Current
PGPIC output also includes 4.3 million tons of aromatics and approximately 4
million tons of urea, ammonia, and methanol annually. Khosrowtaj noted that
LPG, which is already being exported in small volumes by private Iranian firms,
has significant potential as an energy source in African households and
industries. Scaling up this market would require investment in large storage
facilities across the continent.
Targeted
Export Strategy
The plan
identifies specific opportunities for methanol as a base material in chemical
industries, polymers (particularly polyethylene and polypropylene) for
packaging and construction, and aromatics for use in paints, adhesives, and
solvents. Khosrowtaj also mentioned that caustic soda—widely used in water
treatment, food, and pharmaceutical sectors—is being exported in significant
volumes.
Drawing from
international best practices, he outlined key strategies including joint
ventures in small-scale manufacturing, regional logistics hubs, localization,
branding, and close customer engagement. He also stressed the importance of
government-backed credit lines in strengthening trade positions.
PGPIC’s roadmap
includes:
- Year 1: Market research, establishing
joint-investment offices, and piloting export initiatives through trade
fairs.
- Year 2: Signing preliminary contracts,
setting up regional warehouses (e.g., in Lagos and Mombasa), and launching
marketing and brand awareness campaigns.
Infrastructure
and Banking: Critical Enablers
Khosrowtaj
stressed that developing transportation links, such as direct flights and
maritime shipping routes, along with robust banking channels, is vital for
reducing transaction costs and facilitating trade. He highlighted the need for
preferential trade agreements to enhance competitiveness, as rival exporters
benefit from such arrangements.
Despite these
challenges, he reaffirmed PGPIC’s commitment to long-term engagement in Africa,
underlining the need for trust-building measures, diplomatic support, and
infrastructural investment. “Trust cannot be built through a few shipments—it
requires structured programs and long-term commitments,” he stated.
In conclusion, he
expressed optimism that the necessary groundwork will help accelerate trade
relations between Iran and African nations and expand the footprint of Iranian
petrochemicals across the continent.