Indian Condom Industry: The ongoing war in the Middle East has affected everything else, but its impact is also being felt in the condom industry. Let's see how?

Indian condom industry

Indian Condom Industry: The ongoing war in the Middle East is no longer limited to rising gas cylinder prices; it could also impact the personal lives of Indians. This escalating tension could lead to a significant decline in condom production, leading to higher prices.

India's $860 million (approximately Rs 8,026 crore) condom industry is facing difficulties due to a shortage of raw materials and disruptions in petrochemical supplies. This shortage could lead to higher prices, potentially impacting family planning in the world's most populous country.

The Middle East's Condom Connection

The raw materials needed to manufacture condoms are limited. Two main ingredients are needed: silicone oil, which acts as a lubricant. The second is ammonia, which helps stabilize latex (natural rubber). Approximately 86 percent of India's ammonia needs come from Middle Eastern countries like Saudi Arabia, Qatar, and Oman, which is a major source of the problem.

Direct impact on Indian companies

The Indian condom manufacturing industry, which produces approximately 4 billion condoms annually, is now facing production disruptions due to a shortage of raw materials. Major players such as HLL Lifecare Ltd., which is government-run and produces more than 2 billion condoms annually, and other companies such as Mankind Pharma Ltd. and Cupid Ltd. are also grappling with this problem.

Why are rising prices a warning bell?

Declining condom use could increase the risk of unwanted pregnancies in rural areas. To address this problem, the government can take necessary steps to protect consumers from rising condom prices.