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Iran Petchem Industry Nears 100 Million-Ton Capacity, Deputy Oil Minister Says

Iran Petchem Industry Nears 100 Million-Ton Capacity, Deputy Oil Minister Says
(Sunday, March 9, 2025) 10:25

TEHRAN (NIPNA) – Iran’s petrochemical production capacity is set to reach 100 million tons per year in the coming months as new development projects come online, Deputy Petroleum Minister Hassan Abbaszadeh said on Saturday.

Speaking at the 11th Petrochemical Industry Excellence Festival, Abbaszadeh, who also serves as CEO of the National Petrochemical Company (NPC), highlighted the industry’s resilience despite challenges such as feedstock shortages and geopolitical shifts.

“The petrochemical industry is at the forefront of adopting modern management systems, and this festival provides a platform for evaluating and enhancing company performance,” he said, emphasizing the importance of flexibility in navigating market fluctuations.

Strategic Management and Technological Innovation

Abbaszadeh underscored the need for advanced management approaches to optimize operations and improve efficiency.

“Participation in the Excellence Award process not only allows companies to benchmark their performance but also offers an opportunity for constructive feedback and continuous improvement,” he noted. “Excellence is not a fixed destination; it is a continuous journey.”

Leadership and Human Capital: Key Pillars of Industry Growth

Addressing key evaluation criteria for industry advancement, Abbaszadeh stressed the importance of leadership and human capital.

“Leaders must not only possess an in-depth understanding of their business but also be capable of adapting to technological and geopolitical changes that directly impact the petrochemical sector,” he said.

He also highlighted the role of artificial intelligence in revolutionizing the industry, saying, “AI-driven solutions can significantly enhance process optimization and managerial decision-making.”

On human resources, he emphasized the value of workforce engagement, stating, “Our employees are the most valuable asset of this industry. When managers treat their teams with respect and goodwill, motivation and commitment increase, driving organizational success.”

Feedstock Challenges and Underutilized Capacity

Abbaszadeh pointed to feedstock supply as a persistent issue, warning that underutilized production capacity currently stands at around 22%.

“If this trend continues, the imbalance could exceed 30 million tons by the end of the Seventh Development Plan,” he cautioned. “We must implement effective strategies to secure feedstock and maximize existing capacities.”

Concluding his remarks, the deputy oil minister acknowledged the contributions of festival organizers and previous industry leaders. “This event has played a crucial role in advancing the petrochemical sector. Continued collaboration among managers and industry experts will be key to achieving the country’s development goals,” he said.

 


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