Iran Energy News Oil, Gas, Petrochemical and Energy Field Specialized Channel
Related Articles
The rapid expansions of regional rival Saudi Arabia in the petrochemical sector is a real challenge that is emerging as a hazard to Iran`s market share. says Marzieh Shahdaei. head of the National Petrochemical Company.
It is high time for stakeholders in the key sector to mobilize and get their act together in the realm of policymaking and deciding pricing structures. she said.
Saudi Arabia is our main competitor in the Middle East and North Africa petrochemical market. We need all our petrochemical producers to follow integrated policies to regulate supplies and decide pricing structures to counter the Saudis. Shahdaei was quoted as saying by IRNA on Sunday.
The state-owned NPC is the top regulatory body of the petrochemical industry.
Noting that the Saudis with all their means and resources are posing a serious challenge to Iran`s petrochemical industry. she called on the domestic companies to close ranks and turn this threat into an opportunity. The Arab kingdom is the world`s top crude oil exporter and the biggest petrochemical producer in the region.
Iran`s annual petrochemical production capacity is estimated at 62 million tons. The country is keen to reach current Saudi petrochemical output capacity of 100 million tons in three years and push the capacity further up to 110-120 million tons by 2022. NPC is aiming for 72 million tons in annual capacity by March 2018. the end of the present fiscal year.
Despite Saudi Arabia`s lead. Iran has a better position for petrochemical growth. thanks to its massive natural gas deposits. Shahdaei said.
She pointed to the oil kingdom`s efforts to expand its foothold in Asian markets. Over the last few years. they (the Saudis) made concerted efforts to dominate major petrochemical markets. such as India and the Southeast Asia. and eliminate other suppliers.
Iranian officials say the Saudis have lobbied for easing and expanding their petrochemical export to India in a bid to pressure Iran in the petrochemical market of the world`s fastest-growing economy.
According to a published report. in India. anti-dumping rules against Iranian petrochemicals are still in place. but the same restrictions have been removed for Saudi exports.
