Speaking at the opening ceremony of the second “Iran Petrochem”
exhibition, Mahdavi highlighted the industry's role in achieving the 8%
economic growth target set in the Seventh Development Plan. He noted the
inclusion of 49 petrochemical projects focusing on knowledge-based enterprises,
requiring an estimated $24 billion investment. “So far, $12 billion has been
invested, with another $12 billion still needed,” he added.
Expanding Production Capacity
Twelve of these 49 projects are slated for the Persian Gulf Holding.
Once completed, these initiatives are expected to increase petrochemical
production capacity from 96 million tons to 131.5 million tons. “Achieving this
target will generate around $40 billion in wealth solely from petrochemical
companies,” Mahdavi stated.
He projected that meeting the goals of the Seventh Development Plan
would drive an annual 23% increase in non-oil exports, complementing the
current contribution of the petrochemical sector, which accounts for 30% of
Iran’s non-oil exports.
Private Sector Responsibility
Mahdavi emphasized the need for the private sector to independently
address industry barriers. “Do not rely on the government; the private sector
must resolve its obstacles,” he urged. Highlighting recent achievements, he
noted that efforts by the Petrochemical Employers Association have helped
alleviate feedstock challenges, enabling projects like Apadana and Hengam
Petrochemical to move forward with sound economic justification.
Gas Field Development Initiatives
The association has signed 10 agreements to develop gas fields, three
of which are nearing finalization. Mahdavi called on government officials to
expedite the execution of upstream contracts. “If fully implemented, these
agreements will add at least 220 million cubic meters per day to the country’s
gas capacity,” he said.
Foreign Currency Contributions and Domestic Investment
Mahdavi revealed that the petrochemical industry had injected $8.5
billion into the NIMA exchange and commercial currency markets while spending
an additional $2 billion on domestic expenses. “Overall, about $10 billion in
foreign currency has been realized so far, and this figure is expected to rise
by year-end,” he said.
Iran Petrochem Exhibition
The second “Iran Petrochem” exhibition, themed “Supporting
Knowledge-Based Production,” runs from Jan. 13 to Jan. 15 at the Kish Island
International Exhibition Center. More than 140 petrochemical companies,
knowledge-based enterprises, and technology firms are participating in the event,
which is open daily from 5 p.m. to 10 p.m.