Speaking at the conference on introducing investment opportunities and development in petrochemical industries during the post sanction period, Mohammad Hasan Peyvandi said, “currently, petrochemical production capacity has reached 100 million tons per year and an average of 45 million tons of petrochemical and polymer products is being produced and marketed in the country.”

Peyvandi deemed removal of production bottlenecks and increase in production capacity as major policies pursued in the Iranian petrochemical industry adding “the goal is to double the production capacity by attracting foreign investment reaching the production quota of 120 million tons per year until the year 2018.”

Outlining the prospect of Iran’s petrochemical industry as reaching the annual production of 80 million tons, he asserted “currently, development of petrochemical industries is faced with new risks and challenges.”

He recalled the fluctuations in oil prices and the falling of price to 40 to 50 dollars per barrel; “moreover, the acquisition of gas production technology from unconventional reserves by the US has led to lower oil prices affecting the development of petrochemical industry,” he added.

The official further referred to insecurity in various Middle Eastern countries and terrorist activities as other important challenges and underlined, “the global drop in oil prices has seriously affected petrochemical industry in different parts of the world while countries like America have gained 80-billion-dollar revenues due to the fall in prices.”

“The countries suffered greatly from the decline in oil prices include Iran, Venezuela, Russia and Saudi Arabia,” said Payvandi noting “diversification of petrochemical products is among Iran’s long-term policies.”

HA/2962296