Iran petchem, plastic industries tempt foreign firms
EghtesadOnline: Similar to previous years, a large number of foreign firms attended Iran Plast international exhibition which was held in Tehran late in September but it was clear that this time that the companies were not present to just test the waters for future cooperation. They were in talks with Iranian entities all through the exhibition.
It was definitely an outcome of the implementation of Iran's 2015 nuclear deal with six world powers, known officially as the Joint Comprehensive Plan of Action (JCPOA), in January 2016.
In the past couple of years, according to IRNA, transactions have increased significantly between Iranian and foreign companies thanks to the implementation of the JCPOA. Before the sanctions were removed, foreign companies were banned from even responding to emails Iranian companies sent them.
The 11th Iran Plast was timed to coincide with post-JCPOA growth and removal of international restrictions, particularly in the area of technical savvy. That has created the ground for further diversification of the basket of petrochemical and polymer products in the existing petrochemical units. It is currently possible to develop new grades of polymer products for the first time in some petrochemical plants.
Foreign petrochemical companies and downstream industry in foreign countries know quite well that Iran is instrumental in supplying basic needs of other countries.
Iran's share of petrochemical production in the Middle East would reach 41% when development projects in petrochemical sector have become operational by 2020 which marks the end of the country's 6th Five-Year Economic Development Pla