Petrochemicals capacity reached 62 Mn tonnes and average capacity utilization was 75%. Iran exported 19 Mn tonnes of petrochemicals products worth USD10bn over the year. While average net profit was around 25%, this was largely due to gas-based petrochemicals facilities with liquid-fed crackers suffering lower margins.
The government has forecast total petrochemicals capacity of 72 Mn tonnes per annum (tpa) by end-FY 2017/18 with output projected to rise 18% to 59 Mn tonnes. The Iranian government is looking to attract USD72bn in foreign investment for 80 petrochemicals projects that will boost capacity to 130 Mn tpa by 2020 and 180mn tpa by 2025. By 2021, Iran hopes to have achieved total production capacity of 90mn tpa, with natural gas contributing around 50% of the feed stock. We maintain our forecast for Iran’s petrochemicals: capacity of 15.3 Mn tpa of ethylene , 9.9 Mn tpa of polyethylene (PE) and 1.9 Mn tpa of polypropylene (PP) by