Mideast producers should extend credit - NPC

12 November 2008 08:43  [Source: ICIS news]

Credit should be longer-term for convertersBANGKOK (ICIS news)--Middle East polymer producers should extend long-term credit to converters to boost demand during the global financial downturn, a senior industry official said on Wednesday.

"Middle East producers should consider extending credit to their customers for up to six months, from the current 90 days, to help the processing industry weather the current crisis," said Mohammad Hassan Peyvandi, director of planning and development with National Petrochemical Co (NPC).

Peyvandi was addressing delegates at the ICIS World Polymers Conference.

Demand for polymers has weakened in the Middle East in recent months due to a severe squeeze on converters' margins.

Polymer producers starting up projects during the financial downturn should also be extended similar deferred payment terms by their financiers, he said.

"There should be international cooperation between producers and financial banks to consider rational delays in payments to create the opportunity for new producers to weather the crisis," he said.

The two-day conference ends on Thursday.

For more on polymers visit ICIS chemical intelligence
To discuss issues facing the chemical industry go to ICIS connect


By: Prema Viswanathan
+65 6780 4359



AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly