According to the National Petrochemical Company’s Downstream
Development Management, the credit-based sales made up 38% of the total sales
in August, underscoring the growing reliance on credit to support downstream
industries. This surge in sales represents a substantial jump of 54 trillion
rials compared to August 2023.
The development and enhancement of downstream industries, aligned with
the completion of the petrochemical value chain, play a critical role in
reducing raw material exports, curbing imports of petrochemical products,
creating jobs, and boosting economic growth. This also strengthens Iran's
position in regional and global markets.
The National Petrochemical Company has prioritized balanced growth
within the industry, reflecting the policies of Iran’s 13th government. Since
last year, the company has focused on identifying and addressing production
obstacles in downstream sectors, particularly those operating below capacity or
struggling with economic slowdowns.
One of the key challenges identified by the company is the lack of
working capital and liquidity for purchasing raw materials. To tackle this
issue, the National Petrochemical Company has encouraged an increase in
credit-based sales of petrochemical products through commodity and energy
exchanges, aiming to facilitate the supply of feedstock and stimulate
production in downstream industries.
Last year, around 800 trillion rials of credit-based sales were
recorded, and by the end of August 2024, more than 460 trillion rials had
already been achieved, with the goal of further supporting the needs of
downstream sectors through continued credit sales by petrochemical companies
and holding groups.