Conspiring Iranian PC firm let down by foreign partner
An Iranian petrochemical company which has been exporting its products despite domestic demand has been let down by the foreign partner which has not paid for the material it has received.
“Shazand Petrochemical Company“, one of the biggest in Iran, is found in a legal dispute with a foreign company for some overdue payment, “PETRONN” recently reported.
Ostman Transit, ESM General Trading, and Atlantis (under unified management) has failed to pay Shazand PC Co. for the material it have bought from the Iranian company.
The transited goods are said to be worth 46 million Dirhams (over $13 million).
“The prearranged collaterals in the contract have not been received,” the legal inspector of Shazand PC Co. said.
“Only [about $4 million] has been settled, while three check notes worth [$13 million] with maturity dates of August 14, 2015 still remain unpaid,” the official further said.
The news has raised quite some eyebrows among Iran’s downstream petrochemical industrialists, who demand an explanation for why such shaky deals are easily made with foreigners, while they have to put up with many hardships for getting raw material.
Currently, downstream petrochemical companies in Iran can receive raw material either by paying in cash, putting in bank guarantees, or agreeing to pay 2 percent interests on a monthly basis for payment delays.
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About “Shazand PC Co.”
Shazand Petrochemical Company has established as Grass rot complex for the production of different petrochemical products such as Plastics, Synthetic rubber and other chemical from naphtha as feedstock.
The total saleable annual production capacity of the complex presently is 620000 tons achieved in eighteen production plant to serve domestic market as well as exported to the global market. The production of the Complex by adopting the advanced and modern technologies are tailored to meet the internationally acceptable application grades and purities both for polymers and chemical products, which are furnished in this brochure. Shazand Petrochemical Company is holding the ISO 90001-Version 2000, ISO 14001-2004 and OHSAS 18001-1999 certificates.
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News summarized and translated by:
Mehdi Sepahvand
mehdisepahvand1@gmail.com
PIMI News Supervisor and English Editor
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