TEHRAN (NIPNA) — A senior investment official says because of its infrastructure, Iran’s petrochemical sector is on the verge of being placed at the focal point of foreign investors in the near future.
President of Foreign Investment Association in Iran Chamber of Commerce, Industries, Mines and Agriculture Seyyed Hossein Salimi told NIPNA that economic activities have proved to be the most lucrative when they are carried out in petrochemical projects and aimed at production of value-added items for export in all parts of the world, and Iran’s petrochemical industry, given the was infrastructure at its disposal, is a promising sector in the future.
“There are many foreign customers of Iranian petrochemical products,” he said.
Salimi said foreign companies had better invest in Iran’s petrochemical industry instead of buying raw materials from Iran because they will earn more by exporting the produced items to their countries.
He said now that the sanctions on Tehran’s nuclear program are being lifted, more finances shall be channeled into the country.
“Under the sanctions, not much was allowed to be invested in Iran, but now that issues are being sorted out, foreign investors can step in petrochemical projects in Iran.”
The official further said that the petrochemical industry of Iran must make it clear for foreign investors about the price of feedstock and other facilities it will provide for them so that they will better be able to decide about the level of their investment.
He said Turkish investors have entered Razi petrochemical project for the past few years and they have so far indicated so much satisfaction in their investment.
“The number of permits for foreign investments have doubled in the first four months of this year from the same period of last year,” he said.
He also said that leading insurance companies like Hermes shunned direct involvement in any financial activities in Iran under the sanctions but now that the sanctions are being lifted, more and more investors are declaring interest to cover investing firms in Iran.
Salami estimated that the amount of foreign investments in Iran will increase to $7b during the current calendar year (started March 20).