Middle East tensions start to affect leather and footwear trade
The recent escalation of conflict in the Middle East is beginning to disrupt commercial activity for leather and footwear sectors with exposure to the region.
Major luxury groups have temporarily closed stores in the United Arab Emirates, Bahrain, Kuwait and Qatar, while reduced staffing and suspended business travel are affecting regional operations.
Leather manufacturers and footwear exporters in Kanpur and Agra are already reporting concern over potential order cancellations and logistics delays. In Agra, some exporters estimate that business could fall by up to 25% if disruptions persist, particularly as shipping routes via the Strait of Hormuz face interruptions and rising insurance costs.
Analysts note that while the Middle East represents a relatively small share of global luxury sales, it remains an important growth market for premium leather goods and footwear. Temporary store closures, airport restrictions and reduced tourism may have knock-on effects for European tanneries and manufacturers supplying orders to the region.
Industry sources emphasise that it is still early to quantify the full impact, but exporters and manufacturers are closely monitoring developments. Even short-term disruptions in trade flows and travel retail could affect production schedules, seasonal deliveries and order volumes for leather and footwear suppliers.
