Petrochemical Sector on Brink of Bankruptcy

To address its ballooning budget deficit, the government has decided to raise petrochemical feedstock prices by at least 80%, the secretary-general of the Association of Petrochemical Employers Unions said.
“The government had promised to calculate prices of natural and liquefied gas feedstock on the basis of rates in the Integrated Forex Deal System, locally known as Nima, of $1 for 285,000 rials. Nonetheless, based on a new directive issued by the National Iranian Oil Company, petrochem firms will have to pay 80% more to receive natural gas not only as fuel but also as feedstock,” ILNA also quoted Ahmad Mahdavi-Abhari as saying.