Petchem production rises 10m tons since late March

December 12, 2020 - 15:45

TEHRAN – Iranian petrochemical production has increased by 10 million tons in the current Iranian calendar year (started on March 20) to reach 76 million tons following the inauguration of six new petrochemical plants.

This is the most unprecedented increase in production in the history of the country's petrochemical industry.

Based on the Oil Ministry’s plans for the current Iranian calendar year, a total of 17 petrochemical projects with $11.5 billion of investment are planned to be implemented to realize the second leap in the country’s petrochemical industry, which will increase the capacity of this industry from 66 million tons at the beginning of the year to 90 million tons with a growth of 35 percent.

So far, six of the mentioned 17 projects have been commissioned since the beginning of this year, bringing the production capacity of the petrochemical industry to about 76 million tons per year. The total investment in these projects is more than $4 billion, which can generate $1.4 billion annually for the country.

The petrochemical industry is playing a crucial role in Iran's non-oil economy, so that based on the official data, petrochemical exports constitute the second-largest hard currency earner in Iran after crude oil. Petrochemical exports already make up nearly 33 percent of the country’s non-oil exports.

Back in November, the Secretary-General of Iran's Association of Petrochemical Industry Corporation (APIC) said the country’s petrochemical production and exports have increased in the first six months of the current Iranian calendar year (March 20-September 21) despite the limitations caused by the pandemic and the U.S. sanctions.

Ahmad Mahdavi Abhari noted that the country's petrochemical production in the first half of this year has increased by at least five million tons compared to the same period last year.

EF/MA

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