By KT Reporter
Karex Bhd, the world’s largest condom manufacturer, plans to raise prices by between 20 and 30 percent as supply chain disruptions linked to the US–Iran war drive up production and shipping costs.
The Malaysia-based firm says the situation remains fragile, with rising freight charges and delays leaving customers with reduced stock levels.
Chief Executive Goh Miah Kiat told Reuters the company has no option but to pass on the increased costs.
Karex produces more than five billion condoms annually and supplies major brands such as Durex and Trojan, as well as public health systems including the UK’s NHS and United Nations programmes.
The company is among manufacturers facing pressure as the conflict disrupts energy and petrochemical flows from the Middle East, affecting access to key raw materials.
Karex says it has seen cost increases across inputs, including synthetic rubber and nitrile used in production, as well as packaging materials and lubricants such as aluminium foil and silicone oil.
Despite the pressure, the company has enough supplies for the next few months and is working to increase output as demand rises.
Global demand for condoms has increased by about 30 percent this year, driven in part by shipping delays and reduced stockpiles following cuts in foreign aid, particularly from the United States.
Delivery times have also doubled, with shipments to Europe and the United States now taking close to two months, up from about one month previously.
Goh told Reuters that large volumes of stock remain in transit, with some developing countries facing shortages due to delays in receiving supplies.
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