Speaking at the “Petrofan 1403” conference on Tuesday, Mohammad Shariatmadari said the event is a platform for advancing the petrochemical industry. “This conference began years ago, and Persian Gulf Holding takes pride in supporting the development of modern technologies in the petrochemical sector.”

Shariatmadari stressed the importance of aligning Iran’s industry with global development to ensure it thrives. “Today, R&D is a fundamental strategy for leading corporations worldwide, and investment in this field has been a significant contributor to their growth.”

He pointed out that ensuring feedstock supply and financial resources remains a major challenge for the petrochemical industry. “While Persian Gulf Holding is not the country’s main consumer of natural gas, with proper planning, it can play a key role in securing feedstock for domestic petrochemical plants. We have initiated discussions with government officials and are taking steps to address this issue.”

Need for innovative financial tools 

Regarding financing for the sector’s development, Shariatmadari emphasized the need for appropriate financial mechanisms and the creation of innovative tools. “We are working to address this challenge through domestic and international collaborations.”

He warned that any production unit that neglects R&D risks becoming obsolete. “Petrofan can greatly contribute to achieving this goal by identifying real needs and exploring new technologies to create wealth in the petrochemical industry.”

Highlighting the importance of forward-thinking in the sector, Shariatmadari called for producing globally competitive products. “Investing in R&D reduces production costs, and one of Petrofan’s key objectives is to address the petrochemical industry’s needs, starting with Persian Gulf Holding and extending to the broader sector.”

He added that Petrofan should facilitate collaboration across research centers, universities, producers, startups, and knowledge-based companies.

2.5-fold increase in R&D investment 

Shariatmadari noted that while investment in R&D has grown over the past three years, it still lags behind global standards. “R&D investment within Persian Gulf Holding has increased approximately 2.5 times, but significant steps are still required.”

He highlighted the need for innovation in addressing environmental challenges within the petrochemical industry. “One of my key goals is to advance Persian Gulf Holding toward green petrochemicals, ensuring leadership in this field while maintaining a strong track record. Water, energy, and environmental sustainability are critical areas where Petrofan can make meaningful progress.”

Regarding artificial intelligence (AI), Shariatmadari said, “In discussions with Iranian experts, valuable proposals were made to leverage AI for the development of the petrochemical industry.”

Encouraging private sector participation 

Shariatmadari called for the completion of the petrochemical value chain and urged greater private sector participation in downstream development. “We must ensure no missing links in the value chain.”

He expressed hope that Petrofan will play a significant role in opening new markets, fostering knowledge-based production, securing financial support, encouraging investment in R&D, and empowering startups.

Shariatmadari also noted that the number of companies evaluated at the Petrofan event has grown from 19 in the Iranian year of 1401 (ended March 20, 2023) to 52 this year.

“The funds allocated to technology and innovation have increased from 1.53 trillion rials in in the Iranian year of 1401 to 2.65 trillion rials in in the Iranian year of 1402 (ended March 19, 2024) and are projected to reach 3.93 trillion rials in the current Iranian year (to end March 20, 2025).”

He added that the number of signed agreements related to domestic production has risen from 152 in in the Iranian year of 1401 (ended March 20, 2023) to 320 in the Iranian year of 1402 (ended March 19, 2024), with their total value increasing from 31 trillion rials in the Iranian year of 1401 to 57 trillion rials in to 320 in the Iranian year of 1402.

At the conclusion of the conference, a memorandum of cooperation was signed between the Vice Presidency for Science, Technology, and Knowledge-Based Economy and Persian Gulf Petrochemical Industries Company.

The “Petrofan 1403” conference, themed “Path to Innovation in the Petrochemical Industry”, will be held from December 22-24 at the National Iranian Oil Company’s International Conference Center (Koushk) in Tehran in collaboration with Persian Gulf Holding and the Vice Presidency for Science, Technology, and Knowledge-Based Economy.