Tag: condom prices

Condom Prices Expected to Rise Amid Global Supply Disruptions The world’s largest condom manufacturer, Karex, is preparing to raise prices as the ongoing Iran war continues to disrupt global supply chains. The company’s CEO, Goh Miah Kiat, said costs have increased sharply, forcing the firm to consider price hikes of up to 30% or even higher if the situation does not improve. Karex produces over five billion condoms each year and supplies major international brands as well as public health systems. However, rising production expenses are putting pressure on the company’s pricing strategy. Oil Supply Crisis Driving Production Costs Higher The conflict has severely affected global oil flows, especially through the Strait of Hormuz. This key route usually carries a large share of the world’s oil and liquefied natural gas. Disruptions in this region have increased the cost of oil and related materials. Karex depends on oil-based inputs such as ammonia and silicone. Ammonia helps preserve latex, while silicone is used in lubricants. As oil prices rise, these materials become more expensive, directly impacting manufacturing costs. Shipping Delays and Rising Demand Add Pressure Shipping delays and higher freight charges are making the situation worse. At the same time, global demand for condoms has increased by around 30% this year. This combination of strong demand and limited supply is pushing prices upward. Goh explained that economic uncertainty often leads to higher demand. Many people prefer to delay having children during unstable times, which increases the need for contraception. Wider Impact on Global Consumer Prices The effects of the conflict are not limited to condoms. Airline ticket prices have also increased, with economy fares rising significantly compared to last year. Disruptions in the Gulf region have raised fertiliser costs and caused shortages of helium, which is important for chip manufacturing. Other industries are feeling the pressure as well. Bottled water producers, for example, are struggling to secure raw materials due to supply chain issues. Outlook Remains Uncertain If the conflict continues, more industries could face similar cost increases. For now, consumers may need to prepare for higher prices on everyday products, including essential health items like condoms.
BusinessWar

Condom Prices Expected to Rise Amid Global Supply Disruptions

The world’s largest condom manufacturer, Karex, is preparing to raise prices as…

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