The ongoing conflict involving Iran is beginning to ripple through global supply chains, with potential consequences for everyday consumer goods. Among them are safe sex products, which could soon see a sharp rise in prices.
Price hike warning from industry leader
Karex, the world's largest condom maker, has warned of a possible price increase of 20 per cent to 30 per cent, reported News 18. CEO Goh Miah Kiat told Reuters that the hike would depend on how long disruptions continue.
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"The situation is definitely very fragile, prices are expensive… we have no choice but to transfer the costs to customers," Goh said.
Headquartered in Malaysia, Karex produces over five billion condoms annually and exports to more than 130 countries under brands including ONE, Trustex, Carex and Pasante.
Supply chain disruptions hit production
A key factor behind the expected price rise is disruption in shipping routes, particularly through the Strait of Hormuz. The route is crucial for transporting raw materials used in manufacturing and packaging.
Goh pointed to delays in shipments already affecting supply. "We're seeing a lot more condoms sitting on vessels that have not arrived at their destination but are highly required," he said, adding that current inventory levels may last only a few months.
Petrochemical shortages add pressure
Beyond logistics, shortages of petrochemical feedstocks are also adding strain. Materials such as naphtha, silicon oil and ammonia, essential for production and packagin, are becoming harder to access.
Industry experts note that much of Asia's petrochemical supply comes from the Middle East, making the region vulnerable to disruptions linked to the conflict.
Wider economic impact emerging
The effects are not limited to manufacturing alone. Fuel shortages in parts of Southeast Asia, including Myanmar and Cambodia, have disrupted transportation and factory operations.
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Rising fuel costs have also begun affecting daily commutes in some areas, which could further slow production.
Economists caution that if disruptions persist, the impact could extend beyond specific products, potentially driving broader price increases and dampening consumer spending across multiple sectors.
