India’s leather exporters have urged the government to provide duty relief as rising input costs, triggered by the ongoing crisis in West Asia, begin to squeeze margins. The sector, which relies heavily on imported raw materials and chemicals, is facing increased expenses due to higher freight rates, insurance premiums, and supply chain disruptions.
Industry stakeholders said the cost escalation is impacting competitiveness in key global markets, with exporters struggling to absorb the additional burden while maintaining pricing commitments. The footwear segment, closely linked to leather supply chains, is also experiencing similar pressures.
Exporters have called for measures such as reduction in import duties on critical inputs, financial support, and enhanced credit access to help offset the impact of the crisis. They also stressed the need for faster policy interventions to ensure continuity in production and exports.
The Middle East remains an important trade route and market for Indian exporters, and prolonged instability in the region could further strain logistics and cost structures. Industry bodies warned that without timely relief, export growth in the leather and footwear sectors may face significant headwinds in the coming months.