The major issue discussed was the conclusion of long-term petchem contracts as an efficient remedy to help planning exports of surplus raw materials by the Iranian producers, to improve the current circumstances and to stem brokerage in this field. In his discussion of the issue, Mr. Boyouk Agha Sahaf Amin, Chairman to the said Business Committee, while lauding the benefits derived by  this approach, said: “This approach is not new and has been raised several years ago, however there is another face  of the coin, namely the monopoly wielded by the leading petchems manufacturers ends up to the prejudice of the downstream industries”.

Another speaker at the Business Committee, Mr. Javad Moussavi, expert in mercantile exchange issues, highlighted the same benefits but added: “Should the leading petchems manufacturers refrain from  offering their commodities at the exchange, this will adversely affect the commodities prices. Under these circumstances concluding long-term contracts will be advantageous to all parties and this calls for the widespread information and accumulation of demands to these commodities”. In another part of his speech, he analyzed the decrease in the petchems  supply within the past months and attributed it to the decrease in exports by the leading petchems manufacturers, predicting , however, a remarkable  increase in demand to PVC this year.

Source and Photo: INPIA