The impact of rising crude oil prices may soon go beyond petrol and diesel bills and reach Indian bedrooms too.
India’s largest condom maker, Mankind Pharma, has warned that condom prices in India could rise if the war continues and oil prices remain high, reported news agency Reuters.
The company, which sells Manforce condoms and holds around 30% market share in the country, said it may eventually pass on higher costs to customers if the situation in the Middle East worsens.
The warning comes as prices have surged more than 50% since the conflict began in late February, with Brent crude crossing the $100-per-barrel mark amid supply concerns linked to the crisis. Reuters reported that oil supply disruptions and shipping concerns have pushed up raw material costs globally.
Mankind Pharma CEO Sheetal Arora told Reuters that the company currently has enough inventory to manage demand for the next few months. However, he warned that if crude oil prices remain elevated, price hikes may become necessary.
The development shows how the Middle East conflict and oil price surge are now starting to affect everyday consumer products in India.
While condoms are mainly made using natural latex, manufacturers also depend on several petroleum-linked materials such as chemicals, lubricants, silicone oil and packaging material. As crude oil prices rise, the cost of these materials also increases.
That is why the oil price surge caused by the Iran war and Strait of Hormuz disruption is creating pressure on condom manufacturers globally.
Manforce condoms, one of the most widely sold condom brands in India, are currently priced around Rs 100 to Rs 150 for a pack of 10 condoms.
The report also noted that Mankind Pharma’s latest quarterly earnings still showed largely stable raw material costs, with increases of less than 0.5%. But continued disruption in oil supply chains may change that over time.
The pressure is not limited to India. and a supplier to brands such as Durex, has also announced plans to raise prices by 20% to 30% due to higher shipping and raw material costs linked to the Middle East tensions.
Karex has seen sharp increases in the cost of synthetic rubber, nitrile, aluminium foil and silicone oil since the conflict began.
The report added that the closure and disruption around the Strait of Hormuz have worsened the energy crisis and affected supply chains globally.
India has one of the world’s largest condom markets, estimated at around Rs 860 crore to Rs 8,170 crore, with annual production crossing 400 crore condoms.
State-run HLL Lifecare alone manufactures nearly 221 crore condoms every year, while private companies such as Mankind Pharma and Cupid Limited serve both Indian and export markets.
Experts say even a small increase in condom prices could affect poorer consumers the most.
Rajeev Jayadevan, former president of the Indian Medical Association, told NDTV that the Middle East conflict is now affecting contraceptive manufacturing and could lead to shortages and higher prices.
He warned that higher prices could discourage regular use and lead to larger public health concerns.
“Downstream effects include unplanned pregnancies, rising maternal and infant mortality, and an STI rebound,” he said.