Speaking at the “International Cooperation and Relations in
Petrochemicals” panel during the 15th Iran Petrochemical Conference (IPF),
Shakib Mehr emphasized the opportunities for Iran in supplying products such as
agricultural fertilizers and liquefied gas.
Shakib Mehr noted that Sasol, South Africa’s largest
petrochemical producer, manufactures over 200 different petrochemical products,
with 75% of the industry’s feedstock derived from coal.
He added that approximately 20% of South Africa’s
petrochemical feedstock is imported crude oil from countries like Saudi Arabia,
Nigeria, and Angola.
The ambassador stressed that while Sasol produces many of
the same petrochemical products as Iran, there are still opportunities for Iran
to supply specific products to the South African market.
He pointed out that South Africa imports $17 billion worth
of petroleum products annually and exports $2 billion in refined petroleum
products.
Shakib Mehr highlighted the potential to double Iran’s urea
exports to South Africa, which currently stands at 150,000 to 200,000 tons
annually out of the country’s total consumption of 700,000 tons. He emphasized
the importance of establishing direct connections between producers and buyers
to reduce costs and enhance competitiveness in the South African market.
The ambassador also mentioned that Iran could leverage its
price advantage to capture the market for products like linear low-density
polyethylene and low-density polyethylene. He underscored the importance of
utilizing the newly established Iranian trade office in Johannesburg to promote
Iranian products and noted the favorable conditions for Iran’s presence in the
liquefied petroleum gas (LPG), fuel oil, and base oil sectors in South Africa.