A meeting of consumers and converters of plastics goods was held in Jam Petrochemicals Company headquarter aiming to boost the domestic market and solve some of the bottlenecks in the complementary industries.
Jam Petrochemical is one of the largest producers of polymers in Iran and it is very important for its customers to be able to conclude credit sales contracts, preferably long term, with this company.
The meeting, attended by Jam Petrochemical Managing Director and members of the board and directors of PadKish Energy Development Company, and members of the board of directors of the National Polymer Industries Association and subsidiaries, discussed the problems and needs of downstream companies.
The fields that was discussed included issues such as: Reducing credit sales profits and moving towards a long-term contract between Jam Petrochemicals and consumers under protocols of stock exchange; Coordinating to help with proper export planning and domestic sales; Announcing feedback from production grades for quality improvement; Modification of grades and production of new products; innovative look and new product replacement. These issues were among the most important subjects raised by managers of participants.
Jam Petrochemical Managing Director Mohammad Reza Saeedi described the meeting as an opportunity to hear about the problems of the down stream industries and said: “The interaction between us and the converting industries as the customers of our products will help win-win the petrochemical business and based on Jam’s new petrochemical strategy, by increasing engagement with customers, we intend to address petrochemical industry issues to the fullest extent possible because we believe that opportunity, wealth, information, skills and problem solving are at the disposal of our customers. In order to strategically plan for a company in addition to its profits, it is important to consider the interests of its partners and even the viability of its competitors in the market.
“The research and development of a company will give better results when it comes to the needs of consumers,” said Jam Petrochemical CEO. Accordingly, it is advisable to discuss case-by-case, with any company or association with jam experts and discuss issues.
Pointing to the requests of associations, Saeedi told about the credit offerings of the products: “Unless there will not be any legal and financial trouble for us, the profit of credit based supply and the long-term contract can be considered.” The basic price of the products is set by the National Petrochemical Company and we do not have much difference in the domestic and export market prices. He added: “We will produce grades that will boost downstream industries”. To achieve this, it is recommended that Jam Petrochemicals be present in your companies so that they can look at the products from a consumer perspective.
Based on the analysis of PIMI regarding this meeting, such new directive of petrochemical industries to have closer relations with the Iranian consumers of commodities is the result of sanctions over the Iran’s oil and petrochemical industries. It is more than 2 decades that the converters have asked for credit line and these units have never agreed with them.
