RoydadNaft –  Senior officials from Iran’s National Petrochemical Company (NPC) stressed on Wednesday that the country’s petrochemical industry needs a holistic development model to fully harness the potential of its value chain and avoid waste from short-term planning.

NPC CEO Hassan Abbaszadeh, speaking during a visit to the Bushehr Petrochemical Complex, highlighted persistent imbalances between upstream production and downstream processing units in Iran. He noted that some upstream facilities are operating at capacity while connected downstream units lag behind, limiting value-added output and leaving parts of the industry’s installed capacity underused. 

“While the theoretical model for development is a fully integrated chain from upstream to downstream, in practice we see disparities that have led to uneven growth in parts of the chain,” Abbaszadeh said, pointing to specific cases such as surplus ethylene production without matching downstream processing capacity. 

He urged a revision of the current development model used in the sector, emphasizing that coordinated expansion and investment across all segments — including midstream and downstream units — is essential for efficient use of feedstock and enhanced economic outcomes. 

Officials also highlighted ongoing efforts to activate idle capacities and improve resource utilization, including contracts for flare gas recovery and negotiations to channel excess gas into downstream feed streams. 

The NPC’s strategy reflects broader industry ambitions under Iran’s long-term development plans to increase petrochemical production capacity and boost export revenue while reducing waste and increasing the global competitiveness of Iranian petrochemical products.