Highlighting the production achievements in the petrochemical sector,
Abbaszadeh stated that approximately 70 million tons of petrochemical products
were produced in the year 2023. He further emphasized that in the previous
year, the company had spent $2 billion on currency purchases from petrochemical
production companies, indicating a highly desirable capacity for domestic
Last year, exports of petrochemical products reached 28 million tons,
valued at around $16 billion, while domestic sales accounted for 12 million
Of the $16 billion in foreign exchange revenue generated by the
petrochemical industry, $14 billion was allocated to the Central Bank to meet
the country's foreign currency needs.
Abbaszadeh emphasized that the petrochemical industry incurs annual
foreign exchange expenses that are not entirely utilized within the same year.
He clarified that last year, the petrochemical industry incurred $3.5 billion
in foreign exchange costs, including approximately $2 billion in manufacturing
companies, $1 billion in external financing, and approximately $400 million in
project parts procurement.
Regarding the $2 billion in foreign currency purchases made by
manufacturing companies, Abbaszadeh expressed hope that this amount would decrease
annually with the assistance of companies engaged in the conversion of imports
to local production.
He also predicted a decrease in foreign exchange revenues for the
petrochemical industry this year, citing factors such as a 30% drop in global
petrochemical product prices compared to the previous year and an estimated $1
billion increase in domestic purchases.
Abbaszadeh stressed the importance of petrochemical companies honoring
their foreign currency commitments to the Central Bank, as they have done in
He further highlighted the significance of inter-company feedstock
supply in the value chain, stating that petrochemical companies must adhere to
inter-company contracts to avoid disruptions in downstream production.
Referring to the importation of $2.1 billion worth of petrochemical
products, Abbaszadeh mentioned that a value chain analysis and market studies
had been conducted for these imported products, urging companies to focus on
producing them domestically.
Regarding energy management, Abbaszadeh pointed out that petrochemical
companies consumed approximately 39 million cubic meters of fuel gas alongside
their daily intake of 25 million cubic meters of feedstock gas. He highlighted
the considerable potential for fuel savings in these quantities.
Abbaszadeh called for special attention from the CEOs of petrochemical
companies to strategic planning and management perspectives. He emphasized that
while the National Petrochemical Company addresses these issues, CEOs should
also have a keen focus on their business plans and market dynamics, avoiding a
short-term business outlook.
The 33rd Summit of Petrochemical Company CEOs, attended by Morteza
Shahmirzaei, CEO of the National Petrochemical Company, and CEOs of various
petrochemical holdings, commenced today in Mashhad and is set to continue for
two days. The event is hosted by Maroon Petrochemical Company, Aryasasol
Petrochemical Company, and Ghadir Petrochemical Company.