I think someone rehashed a very old story about adulterated gum. Seems oddly similar to a 1997 article on the same subject.
Pop! Went the Tale of the Bubble Gum Spiked With Sex Hormones(excerpt)
Moreover, a tale of adulterated food is not entirely implausible. There is substantial evidence that unscrupulous Israeli merchants, working in cahoots with Palestinian profiteers, sent tons of spoiled flour to the West Bank and Gaza last spring. And large quantities of canned baby food, shipped from Israel to Gaza under the label of the Milk Industries Group in Afula, Israel, turned out to be relabeled soy formula whose expiration date had passed.
The chewing gum tale, though, is something else. It joins a number of Arab fantasies that play off Israel's links to the West -
...
In this case, Palestinians allege, Israel came with strawberry-flavored chewing gum laced with progesterone, one of the two hormones of femaleness. The hormone, they say inaccurately, drives women wild with desire and serves as contraceptive, too -- corrupting Arab women while ensuring they cannot reproduce.
According to officials in Gaza, the gum was first spotted at a convenience store run by Riyadh Younis Daoud. There were several varieties, each of which came with stickers inside: "The Legend of Pocahontas," "Aladdin and the Magic Lamp," "Thunder in Paradise" and others.
Because Pocahontas had rather a sultry look, and because the
gum's Spanish manufacturer mistakenly had put the words "adults over 18" on some of the wrappers, Palestinian inspectors seized Daoud's entire supply and brought it to Abdel Jabbar Tibi.
...
Tibi and others remembered a furor over Israeli chewing gum a year ago in Egypt, where a maverick legislator and a sensational newspaper, al-Ahrar, first put forward the hypothesis of an Israeli plot to put progesterone in gum -- a brand that appeared to have been made in Germany. The Palestinian Authority therefore commissioned a test at Cairo's Food Technology and Research Institute, and the institute reported that it had found progesterone.
http://www.washingtonpost.com/wp-srv/inatl/mideast/july/28/gum2807.htmAnd because it plays so well to the cultural fears of the Palestinians it is possible this urban legend is promoted. There is such a thing as psy-ops after all.