also, mr. najafi ardakani, a member of the petrochemical industry employers' association, with whom we will discuss the activists of this field, god willing, if you are interested in this discussion , stay with us until the end. let's talk about the solutions to progress and complete the value chain in the petrochemical industry. first of all, my colleagues in the energy group of the sada vasima news agency have prepared a report for you on the same topic. bahman

87, the first part of the largest manufacturing complex ethylene jahan was put into operation in iran. its main shareholder, along with the national petrochemical industries company, was the national pension fund. the retirees hoped to benefit from it to increase their pensions . 400 billion tomans for military retirees and 1000 billion tomans for retirees. a country related to the arrears before 1979, i.e. retirees who were before 1979 , which was in the form of shares of the petrochemical company , was supposed to increase the profitability of this petrochemical unit with the development of the value chain. the first phase of the main area that was defined, a company was supposed to be built in it the whole thing is that you can create added value for the entire portfolio of the ministry of oil and the

national petrochemical industry company, which started the construction of one of these value-creating downstream units in 2009 with the aim of increasing the production of polymer called es polymer podgem, which is in it will be operational in 1402, god willing , we will overcome this low production situation, but the construction of this complex was gradually stopped since the end of 2009 due to management problems. it went so far that its investor had reached this conclusion in the past, a few years ago, that it would actually be auctioned and handed over. since bahman 1400, with the change of the management group in petrochemicals, we have come back from the crisis and the stoppage of sadr sadi . today, when we are at your service, by god's grace , we were able to increase the production and continuous production of this group to 70,000 tons per month. the

first stage produces products that are one of the strategic needs of our domestic market, primary materials for making cars and household appliances. according to the shareholders of this petrochemical company, in the next 6 months, three new parts of this complex will be put into operation. ruqiyeh hoyda, radio and television news agency. yes, the report is with hamadi, one of mossad.

we pay attention in the petrochemical industry and the same do you remember that the petrochemical industry has been formed in gas and oil fields in addition to these due to the development that was formed upstream and we are now witnessing that about 100 million tons of capacity has been created in the petrochemical industry, but when we talk about the value chain we need to know that the use of hydrocarbon resources that are now entering the petrochemical industry, these materials, which include natural gas and other feedstocks, which are roughly equivalent to one million barrels of crude oil in terms of energy , what will these materials become into the petrochemical industry and to what extent. it is possible to advance these things, well, there are many steps in our country we picked up the good in this field and reached a production that now in the current situation we export about 30 million tons of product and supply about 12 million tons of product to the domestic downstream industry, sinait petrochemical, which is actually in terms of

value if i want. let me tell you that we have exports equivalent to about 13 billion dollars, and about 10 billion dollars is the value of petrochemical products that are supplied to the downstream industry. but there is also some unreality, we are in the middle of the road , we have imported a series of products from the other side that are not produced domestically, that's what i wanted to say. we are producing products, about 70 % of which are actually exported, because they have not yet completed the continuation of the chain. we brought some chains to a point, but the chain must be complete. we import products equivalent to approximately 2 billion dollars , we import petrochemical products that we have not produced so far, which are actually targeting the value chain that should be continued in production. because this concept and this issue are necessary

to spread among the investors, we presented this in different places. today we are at your service and yesterday a conference was held in the conference hall of radio and television. the 15th iran petrochemical conference, where 70 domestic and foreign companies are present in this conference. there are many discussions about the issue of the value chain and some of the chains in which we have more fragility , such as the methanol ratio, specialized meetings are being held, and there this issue is discussed expertly, and the factors that we could not develop these chains. let's check those panels it can be reviewed in those meetings, of course , very good designs. the value chain is defined, which is being followed up through respected investors. thank you, mr. najafi, for telling me that as one of the activists in this field, the obstacles that we are talking about a lot in the face of the development of the value chain , the importance of which is discussed in detail in the program.

different places in different places, why this did not happen or progressed slowly in our country, in the name of allah, the merciful , the merciful. dear viewers, if we want to see the reality, there are two problems there is an area to complete the value chain. we all believe that this chain should be completed for the benefits it has for the people and for the shareholders , but a major part of that part is that appropriate investment should be made in the country and this capital it's interesting, you four authors. in the development of the chain, it is definitely faced

, one is the issue of feed in the petrochemical industry. one the issue that we could actually localize a part of this now. it is the technology that we need , which license and technology we want to complete our chain, but the more important thing is that, unfortunately, something has happened, the petroleum industry has become an oppressed industry. there are no domestic or foreign investors that i can find. the first point in this matter is that sanctions are a part of work anyway and do not allow the main investors to enter the game. listen, but the next point is that we really have a series of conflicting laws inside the country, and these

conflicting laws do not allow anyone to be attracted to investing in the petrochemical industry. utility as a component based on which we want to invest, side services that petroshim needs to achieve production has increased by 25 24 30% in different years. well, this makes us own 40% of the 40% portfolio in the petrochemicals exchange if i'm not mistaken, the profit margin for the petrochemical industry will decrease from 35% to 23%, which means that the profit margin will decrease . well, this will make the attractiveness of this document disappear .

if he has it, he will definitely go to invest in other areas. when you clearly mention this decrease in attractiveness, what do you know about it? the rules and regulations that specify the mandatory pricing in a special way, our mandatory pricing in the food sector is also the same in the utility sector , and there are a few other rules that i will continue to present. your service is like the requirement of petrochemical companies that the supply floor must increase. well, to increase the supply floor and domestic production, we definitely have to see how much our downstream industry has increased. how much our small industry has increased. when we do not increase our small industry, the company we oblige them to be listed on the commodity exchange. supply and sell, if they don't meet the supply floor , we will definitely punish them. one part

takes our product, one part puts it into production, and another part compounds it and exports it from the country, because there is no obligation to return the currency and money. they don't have it, then i, the exporter , have to compete with my goods in the neighboring countries, that is, the goods that belonged to me. it has entered my market through an unofficial channel. it is 100-120 dollars lower than the price of the product that i want to buy. they compete in the market . i lose my competitive position. can you give us an example? for example, polyethylenes are like this in a certain work. this has happened, of course. let's go , for example, we have a figure that we had a decrease in exports. you can check how much the increase in the export of campan was, how much the decrease in ethlini's monetary products was. you are almost a year apart. almost one million, and if i am not mistaken, 20,1 million and 123

thousand tons, we had a reduction in the export of the ethlinian monetary mass because of this issue, because of this issue, mr. abbaszadeh, how many obstacles do you face now , except for the points that mr. najafi mentioned, what are your points ? you are going to add that it prevented us from completing and developing our value chain. yes, you see, in the development of the value chain , as mr. engineer najafi said, one of the main foundations of the production of these products is technical knowledge, in such a way that the technical knowledge of the products that are at the bottom of the chain lt is or we mention it as a chain or downstream products, it is difficult to make it available to other countries, the reason is probably not the embargo. they don't do it unless they themselves are partners in it because of the small market these

products have and they don't want to create competition in the monopoly they have in the market, so the technical knowledge of this sector is not easily available. fortunately, this has been the working method in the country scientific companies are actually empowered and found to be able to present a technical university and that they can be imported with methods from some other countries for the first time, but here they actually transformed it and made it better . mr. najafi, you refuse to mention it and you agree to confirm it. yes, some of the issues are structural issues or laws that mr. najafi refers to. see, in our petrochemical industry , we were exempted from the situation where we used to give export exemptions to export products in one year. exports were canceled while in special areas this promise to it was given to the investor that you included exemptions , anyway, based on the laws that were created

, export exemptions were removed and duties were imposed on some petrochemical products, which is really a correct definition of raw and semi-raw materials. it is not right to impose duties on petrochemical products that we have free in the country, such as polyethylene and some other products. this makes the investor not interested because these fees may increase for years, it may start from half a percent and increase. duties on petrochemical products are not a suitable tool to meet the domestic needs, in my opinion, they could be supplied with the floor , and even though the petrochemical companies have agreed to supply the domestic industry, it solved the issue and exported the surplus of the domestic needs. the incident that mr. najafi mentioned about the sudden

increase in the domestic sales of petrochemical products or so on in the domestic market compared to polymer products and the decrease in our exports was related to several issues, including the price of land, which at some point with the currency that was actually created , it caused an attraction in this issue or create a rental that participates. they are not able to come and absorb the product and finally export it from one source, while we have seen a very significant increase in we are not under our control . domestic sales of petrochemical products increased in 1401 and in the middle of 1402, and it reduced a part of our exports, of course, this has almost returned now. look, i

was talking about investment. my point was that when we have these problems, when we have a conflict. when we come to rate the utility price in 1400 for 1400 and 1402 , the year when companies close their accounts, hold meetings, distribute profits, then we come and do this. definitely, no one will come to invest with us. when we make the decisions we want to make , we diminish the role of the capital market and the role of the elites of the capital market. if you pay attention, we should our production capacity should increase from 96 million tons to 130 million tons. for this investment , we need about 7 billion dollars. how are we going

to provide this 7 billion dollars? what is our plan for 7 billion dollars? invest? when our own people don't trust the petrochemical industry , how do we expect foreign investors to come , they have nothing to do with the sanctions, they don't trust investors in the stock market. market capitalism, why doesn't it trust, because we create and expand , we decide to issue a circular, and you don't consider the effects of this circular on the profit and the final price of petrochemical, the display of the same utility price, the same price, the feed rate, the pricing order that is being done in we will put the rules we have on the market, if we really want to export, let us go to our own markets. another point is that this is a very important point, mr. engineer, and we really need to

see the role of this in completing the chain. it means those who read investors are looking for increased profits, now something has happened in the petrochemical industry , let's assume masjid sulaiman urea petrochemical company is competing with urea petrochemical campus in our own export market. we have a customer, onor, whose entire product portfolio comes in one container, and we compete with us in the market, and we cannot, due to these problems, actually play the role we should play in the export market. our value chain, which we also have, for example we are talking about the evaluation, we are talking about its importance , we did not develop it, it does not include many points of sanctions , the sanctions that we have, that is, most

of it seems to be internal challenges and problems. the project started working in 1989 and in 1996 and 1977 , due to the cruel sanctions against the republic , the technology owners and the license holders left. start a section there our goods were out, we are not saying that the embargo is ineffective , fighting really defends the interests of the people and the shareholders, there is no other way to forgive us, this is the production that has been done, mr. engineer, the elites have complete control over these projects, this is the production that has been done, we have the license and the technology is indigenous. we made it with

access to the licensor, but we didn't have access to the owners for which country it was, before it was america. we can overcome issues like embargo and see, i say that if the problems are solved internally , we really need the technologies that we need now. that we can communicate with the world, we are not really in the same situation in selling our products because we cannot open an lc, we cannot provide the services that international banks provide to our customers, that is why we are definitely in the market with a challenge. we are facing serious issues , that is, we don't really want to say that

we will move the investment forward in the chain . we can first ease the investor's mind from our own decisions that this investment will be profitable for you . whenever we reach this point, we can continue to attract domestic capital. and foreign mr. abbaszadeh note mr. najafi mentioned that it was brought up a lot in many discussions by the officials, especially in sizam 's government. how much effort is being made to make these events come true, so that we can finally go through these paths once, we have talked about the changes that are happening here, we have talked about the changes that are happening . what we put

compilation of the 7th program of the many meetings held from the private sector and especially the petoshimi employers association, friends, to be present alongside the public sector and where it was necessary, the opinion of the association was also taken. the 6th was the same, but sometimes in the form of budget programs or other directives that are implemented, sometimes there are directives that may

create a tension in the industry and the petrochemical industry that needs to be taken care of. the national petrochemical industry company continuously solicits opinions from the private sector and in the meetings the working groups are with us, especially the trade association, and we use them in the drafting of regulations . one of the very good things that was reformed in the field of the value chain and hindered investment in the value chain was a regulation that was contrary to a purposeful law under the title of the pelekani discount regulation. the feed in the discount regulation, in fact, maibash feed was not given enough attention, and in order to develop our value chain through more liquid feed, we can give more development, including about some cases, even about some of the issues in the methanol chain. there was no special attention. this issue is ongoing perhaps for more than a year , there was back and forth between the trade association of the petochemical industry and the working groups, and fortunately

, it was announced in june this year and the regulation was amended. 94 was announced until now, when we are at your service, which was amended in june, it was not able to create attraction. yes, but now it gives a very good incentive on feed, we can give up to 30% discount on upstream feed to the chains, which is lower, but this has been done, mr. najafi , we saw it together in the report, now you are doing it too. and you are active in this area of ​​projects, completing a half-finished project like what we saw and heard in the report together, how much it can help the same discussion that we have been talking about since the beginning of the program, completing the chain. it is worth helping and playing a role in this field. well, completing the chain in any way is an extension of guaranteeing the investment

of the shareholders. in a way, when one of our products was launched in the same project , we sold a product in the same petrochemical company for 750 dollars. now it has entered the cycle, added value has been created for it, and we will not export it anymore we are bringing in our own cycle, we are selling around $1,400. well, there is a point that mr. abbasada said . i will show the average of our export products as an average. we export $650 per ton, and the average of what we import is $1,600 for us. it costs money, so we can complete the chain as much as we can , we will reduce the share of our imports. this is the point

in this discussion. the part that is not really paid attention to in my opinion is that we came at one point and only went for a specific type of product. let's say that in one company there are 5 to 6 sets of petochemical projects. everyone is going towards the production of methanol, which mr. abbas is a complete aristocrat, today's methanol production is because methanol has no economic justification at all, its production, neither the projects are moving forward, nor can we profit. let's think that the same thing is happening right now that i am at your service , it is happening in the field of pdi, that is, we came to 41 projects, we came , we caused, we gave permission, they are going to invest in us so that we don't solve our main problems. we will have this on the discontents that have arisen in the country and there is no plan for this, i say we should

in order for us to make an investment to complete the chain, go for the right investment , go for the right product, unfortunately this happened seasonally and we went towards it at any time according to the appeal of that product or product , unfortunately we did not see the horizons. you mentioned that you are in this product, which is in the same factory, which has now gone from 750 dollars to 1400 dollars, and it has almost doubled what we have. if this happens and in other similar cases, it will prevent this from happening. look, i'm sorry about the projects. i said that the sanctions were cruel. which is against the islamic republic, but there is definitely no deadlock and we can overcome these sanctions . now, in different ways, the second problem that has existed, well, there are problems that are due to my differences with the investor. disputes

with shareholders or technical and specialized issues. well, many of the goods used in these projects are foreign goods. there were goods that were not given to us due to embargo. well, it was difficult to produce this product in the country anyway. one of the issues we had in this project and i'm sure it's related to my other projects we were able to solve the follow-ups and support provided by the central bank of the trade union. it was a lot of work. before the year 98 97 96, the order was registered, the order was placed in foreign countries, in order to even be able to do localization, we need to import this product to the country, to see its use, to be familiar with its technology, and many of these products have new technology, that is our colleagues are using technology that has never been in the country before. well, almost 80 million dollars worth of

our goods were outside the country and were embargoed. they don't deliver to us, so we do it with 2 things or we should have gone and bought it again because it was the capital of the same people, it was the shareholder's capital, or it should have been done at any cost with follow-up interaction and