Karex, the global leader in condom production, has announced plans to increase its prices by 30 per cent or more should the conflict in Iran continue to disrupt the supply of essential raw materials.
Goh Miah Kiat, the Chief Executive of the Malaysia-based firm, stated that production expenses have climbed significantly since the outbreak of hostilities, reports BBC.
The company manufactures over five billion condoms annually, supplying major international brands including Durex and Trojan, along with state health providers such as the UK’s National Health Service (NHS).
The disruptions stem from the effective closure of the Strait of Hormuz, a vital waterway through which a fifth of the world’s crude oil and liquefied natural gas (LNG) normally passes.
Iran issued threats against vessels in the strait following airstrikes by the US and Israel, leading to a breakdown in global supply chains for petrochemicals and oil-derived materials, such as ammonia used to preserve latex and silicone-based lubricants.
Concurrently, global demand for condoms has grown by approximately 30 per cent this year. Goh explained that during periods of economic instability, the necessity for contraceptives increases as people face uncertainty regarding future employment and the financial costs of raising children.
“In bad times, the need to use condoms is even more because you’re uncertain with your future, whether you’d still have a job next year,” he noted, adding that a new baby represents “one more mouth to feed.”
The price hike in condoms is part of a broader trend of rising consumer costs triggered by the war.
Higher freight costs and shipping delays have already caused the average price of economy air fares to jump by 24 per cent compared to last year. Furthermore, the United Nations has warned of impending price increases for fruit, dairy, and sugar due to rising transport costs.
Other industries are also feeling the pressure; the bottled water sector is struggling to secure raw materials, while disruptions in the Gulf have led to a scarcity of helium for computer chips and higher costs for fertilisers.
The prospect of a diplomatic resolution remains unclear, although President Donald Trump confirmed on Wednesday that he will extend a ceasefire with Iran while negotiations continue.
