Pasante Healthcare Ltd (PHL Ltd) Issues Market Update on Global Supply Chain Volatility; Strategic Stockpiling Urged Amid Rising Production Costs

Pasante Healthcare Ltd (PHL Ltd) Issues Market Update on Global Supply Chain Volatility; Strategic Stockpiling Urged Amid Rising Production Costs

Download the press release here or read in full below:

Lancing UK – April 24, 2026 – Kevin Mearns, Managing Director at Pasante (PHL Ltd), a premier sexual health and wellness subsidiary of Karex Berhad, has issued a comprehensive market update regarding the escalating costs of raw materials and logistics. Driven by the deepening conflict in the Middle East, the industry is facing a transformative shift in the global supply landscape. 

Karex is the world’s largest condom manufacturer; therefore, Pasante is uniquely positioned to navigate these disruptions. However, the closure of the Strait of Hormuz and the subsequent strain on oil-dependent manufacturing sectors have necessitated a strategic review of current and future pricing structures.

The Current Landscape:
The conflict in the Middle East has triggered a "cascading effect" across the entire production cycle. Because sexual health products rely heavily on petrochemical derivatives and specific agricultural trade routes, the impact has been immediate and significant.
Current data from the Karex group highlights several critical cost drivers:

  • Nitrile (Non-Latex): Procurement costs have surged by 100% due to the scarcity of chemical precursors.
  • Latex & Silicone: Natural rubber costs have risen by 30%, while silicone-based
    lubricant costs are up 25% amid fluctuating oil prices.
  • Logistics & Packaging: Foil and plastic packaging have seen a 20-30% increase, compounded by rising maritime freight costs as vessels avoid conflict-prone corridors.

“We are currently operating in a highly volatile environment where the traditional rules of the supply chain have been rewritten by the day. While we have successfully absorbed many of these pressures over the previous quarter, the reality of the conflict suggests that the peak of this disruption may still be ahead of us.”


Strategic Stocking:
While the outlook for the broader industry remains uncertain, Pasante has confirmed a strong current stock holding across its UK distribution centres. This inventory, produced and shipped before the most recent escalations, offers a temporary buffer for healthcare providers, retailers, and public health organisations.

The company is advising partners that while prices remain stable for existing inventory, further increases are liable to occur as the conflict persists. By securing requirements from current stock, partners can insulate themselves from the anticipated volatility of future production cycles.

“Our current inventory levels allow us to offer a degree of price stability that may not be
sustainable as we move into the next manufacturing phase, and we are encouraging a proactive approach to procurement. Ensuring supply now is not just a matter of logistics; it is a strategic step to mitigate the inevitable financial impact of the ongoing situation on future shipments.”

Looking Ahead:
Pasante remains vigilant in monitoring the geopolitical situation. Should the conflict in the Middle East escalate further, the industry could face not only continued price hikes but also intermittent product shortages.
Despite this, we are striving to reduce any impact these may have on our customers, and we will continue to deliver high-quality products at affordable prices. The company aims to ensure that protection remains accessible and affordable for its customers, even amid unprecedented global supply chain instability.

About Pasante (PHL Ltd)
Based in Lancing, West Sussex, Pasante (PHL Ltd) is the UK’s leading sexual health brand.
As part of the Karex Berhad group, Pasante provides an extensive range of condoms, lubricants, and medical devices to the NHS, retail sectors, and international markets, prioritising quality and inclusivity in every product.

About Karex Berhad
Karex Berhad is the world’s largest manufacturer of condoms. With a global manufacturing footprint, Karex produces over 5 billion condoms annually for the world’s most recognised brands and global health agencies.

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