Ahmad Mahdavi Abhari, Secretary of the Association of Petrochemical Industry Corporations (AIPC) was quoted by Islamic Republic news agency (IRNA) on Saturday as saying that Iranian companies exported 25 million metric tons of petrochemical products worth of $14 billion last year. However, he regretted that the number could have been more.
AIPC’s secretary further stated that Iran exported 10 percent of its petrochemicals to Europe prior to sanctions hoping to regain or even increase the share in post-sanctions era.
The petrochemical industry is the biggest source of foreign earnings for Iran after oil but US sanctions have caused exports to decline. In May 2013, Washington blacklisted eight major Iranian petrochemical companies, including Bandar Imam Petrochemical Co., Bou Ali Sina Petrochemical Co. and Mobin Petrochemical Co.
Iran is also cut off from the international financial system but banks have started showing interest in business with the energy superpower.
Iran’s total petrochemical production capacity stands at 60 million metric tons per year which according to the recent remarks made by Abhari is going to be tripled after the opening of plants under construction and developments on the way.
Three new petrochemical plants are expected to become operational before the end of the current Iranian year in March 2016, raising the country’s production of light and heavy varieties of polyethylene by about 900,000 metric tons.