The world's largest condom manufacturer, Malaysia's Karex Bhd, has announced plans to increase prices by 20% to 30%, with further rises possible if supply chain disruptions caused by the Iran war persist. The company's CEO, Goh Miah Kiat, cited rising costs for raw materials and shipping delays as key factors.
Karex produces over 5 billion condoms annually, supplying major brands such as Durex and Trojan, as well as the UK's National Health Service (NHS) and United Nations aid programmes. Goh stated that the company has no choice but to pass on increased costs to customers, as freight costs and shipping delays have led to lower stockpiles among buyers.
The Iran war has strained energy and petrochemical flows from the Middle East, disrupting procurement of raw materials. Karex has seen costs rise for synthetic rubber, nitrile, packaging materials, and lubricants since the conflict began in late February. The company has sufficient supplies for the next few months and is boosting output to meet surging demand.
Global condom demand has risen by about 30% this year, exacerbated by shipping disruptions. Shipments to Europe and the US now take nearly two months, compared to one month previously. Goh noted that many developing countries lack sufficient stock due to extended delivery times, with condoms sitting on vessels awaiting arrival.
