Russian government to promote petrochemical consolidation

18-Nov-09

Currently, Russian petrochemical industry is highly fragmented making them uneconomical. To counter this, the Russian government plans to encourage consolidation in the petrochemicals industry in a bid to become globally competitive. The need has been felt to develop the sector further, particularly downstream processing sector, to diversify the economy. Currently, Russia extracts 13% of the world's oil and produces only 2% of the world's petrochemicals.