Planning the future development of the Mexican, petrochemical industry

Thesis/Dissertation · Fri Jan 01 04:00:00 EST 1982

OSTI ID:6081450

Jimenez-Gutierrez, A

The Mexican petrochemical industry, one of the most dynamic sectors in the Mexican economy, is scheduled for a big expansion in the next few years. In spite of the vast oil resources in Mexico, the industry's dependence on imported materials has traditionally been appreciable. Even though the industry has grown rapidly, it has not been able to keep pace with the domestic demand. The ambitious plans of the Mexican government to build a strong petrochemical industry can be achieved in two major steps: first, the industry should reach a high level of independence of imported materials, and secondly, the industry should be able to compete in the world market of major petrochemicals. In this work, a systems analysis of the Mexican petrochemical industry using a mixed-integer programming model is formulated. This formulation lets the model take into account economies-of-scale, which are a key factor for the development of a strong industry. The model is used to study the impact of subsidized prices on the optimal growth of the industry. It is shown how a superior policy of subsidized prices can be identified to promote the development of a competitive industry with an optimum use of basic resources.

• OSTI ID: 6081450
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020500* -- Petroleum-- Products & By-Products
03 NATURAL GAS
030400 -- Natural Gas-- Products & By-Products
29 ENERGY PLANNING, POLICY, AND ECONOMY
290100 -- Energy Planning & Policy-- Energy Analysis & Modeling
294000 -- Energy Planning & Policy-- Fossil Fuels
CHEMICAL PLANTS
DEVELOPING COUNTRIES
ECONOMICS
ENERGY MODELS
FINANCIAL INCENTIVES
INDUSTRIAL PLANTS
LATIN AMERICA
MARKET
MEXICO
NORTH AMERICA
OPTIMIZATION
PETROCHEMICAL PLANTS
PLANNING
SUBSIDIES