The Malaysian company Karex, the world’s largest producer of condoms, will increase the prices of its products by up to 30% due to the war in Iran and disruptions in the Strait of Hormuz.
In statements to the Efe news agency, released this Thursday, April 23, the executive director of Karex, Goh Miah Kiat, pointed out that the company has “been adjusting prices with the majority of customers”, with increases of up to 30% on condoms, intimate lubricants, probe covers and catheters.
The person responsible considered that the transfer of costs to the customer is “inevitable due to the continued instability in the supply of raw materials, logistical interruptions and the increase in production costs”.
The impact is mainly due to the increase in the price of raw materials such as nitrile latex, a petroleum derivative, by around 100% in recent weeks due to disruptions in the Strait of Hormuz, through which much of world trade passes.
Added to this is the cost of silicone oil and aluminum foil packaging, whose prices have increased by between 20% and 30%, while some of the materials used in intimate lubricants now cost 120% more than before the war.
“We continue to face longer delivery times from suppliers, greater price volatility and higher transportation costs,” he continued, adding that the company has increased preventative storage of raw materials to ensure production continuity.
Stressing that the continuation of the war could imply further price adjustments, Goh Miah Kiat pointed out that the decision to reflect the current or future increase among customers will depend on Karex customers and retailers.
Currently, Karex manufactures around five billion condoms every year, equivalent to 20% of the global total, supplying brands such as Durex or Trojan.
The Malaysian manufacturer is also the largest supplier of the United Nations (UN) humanitarian aid program and its HIV prevention programs in Africa and Asia.
The United States and Israel began the air attack on Iran on February 28th and the situation in the Persian Gulf worsened due to the blockades imposed on cargo ships, especially oil tankers.
