Does India Charge Export Duty on Leather Hides? 2026 Guide for Overseas Buyers
Updated: 23 hours ago
Yes, but only on less-processed leather. As of October 2026, India charges 40% export duty on raw cattle hides and skins (30% on raw buffalo), 20% on tanned wet-state hides such as wet blue, and nil on crust leather (since 2 February 2025) and finished leather. Overseas buyers importing crust or finished hides from India pay no Indian export duty.
This guide explains the export duty on leather hides in India line by line, what it means for the price you are quoted, and which form of leather makes sense for tanneries, furniture makers and leather goods brands abroad. Updated October 2026.
Key Takeaways
Raw hides and skins: 40% export duty (raw buffalo: 30%), effective 24 July 2024.
Tanned wet-state hides, including wet blue: 20%, except E.I. tanned leather (nil).
Crust leather (HS 4104 41/49, 4105 30, 4106 22/32/92): nil since 2 February 2025.
Finished leather of goat, sheep and bovine animals: nil.
India's Budget 2026-27 (February 2026) did not change these export duties.
What export duty does India charge on leather hides in 2026?
The rate depends on how far the hide has been processed. India deliberately taxes raw and semi-processed hides to keep material for its own tanneries, and leaves crust and finished leather duty-free to encourage value-added exports. The current rates sit in Notification No. 27/2011-Customs, as rewritten by Notification No. 37/2024-Customs and amended for crust leather by Notification No. 03/2025-Customs.
Form of leather | Typical HS codes | Indian export duty (as of Oct 2026) | What it means for overseas buyers |
Raw hides and skins (cattle, goat, sheep) | 4101, 4102, 4103 | 40% | Rarely viable to import from India |
Raw buffalo hides | 4101 20 20, 4101 50 20, 4101 90 20 | 30% | Rarely viable to import from India |
Tanned, wet state (incl. wet blue), not E.I. tanned | 4104 11, 4104 19, 4105 10, 4106 21/31/91 | 20% | Possible, but the duty is built into the price |
E.I. (East India) tanned leather | Within 4104, 4105, 4106 | Nil | Niche, vegetable-tanned traditional leather |
Crust leather | 4104 41 00, 4104 49 00, 4105 30 00, 4106 22 00, 4106 32 00, 4106 92 00 | Nil (since 2 Feb 2025) | Good option if you finish leather yourself |
Finished leather (goat, sheep, bovine) | Chapter 41, e.g. 4107, 4112, 4113 | Nil | Most common choice for brands and furniture makers |
Leather products such as footwear, jackets and upholstery components are outside these export-duty lines entirely, so a finished product made in India is not taxed on the way out.
What changed for crust leather in 2025?
India cut the export duty on crust leather from 20% to nil with effect from 2 February 2025, and at the same time removed the 10% basic customs duty on wet blue imports, according to the Council for Leather Exports' Budget 2025-26 summary. Tanned wet-state hides kept their 20% rate.
For an overseas tannery or upholstery cutter, the practical result is simple: if you want semi-processed leather from India, specify crust (dried after tanning and ready for dyeing and finishing), not wet blue. The difference in Indian duty is 20 percentage points on the same hide.
Did India's 2026 Budget change leather export duties?
No. The Council for Leather Exports' Union Budget 2026-27 circular lists only changes to imported inputs for exporters: the duty-free IGCR scheme was extended to 31 March 2028 and opened to shoe-upper exporters, and the export window for using those inputs became 12 months. Export duty on hides, wet blue, crust and finished leather was left as it was.
How does export duty show up in my price from an Indian supplier?
It is paid by the Indian exporter when the shipping bill is filed, so it never appears as a separate charge at your port. On an FOB or CIF quotation it is simply part of the unit price. That is why two quotes for similar hides can differ sharply if one supplier is shipping wet blue and the other crust.
Ask for the 8-digit ITC-HS code on the proforma invoice and on the final commercial invoice.
Ask the tannery to state the processing stage (wet blue, crust or finished) and the finish type.
Compare quotes per square foot on the same selection grade, thickness and Incoterm.
Check your own import duty for that HS code with your customs broker, because Indian export duty and your country's import duty are separate. Our guide to buying leather hides wholesale in India explains selection grades and square-foot pricing.
Which form of leather should overseas buyers order from India?
For most brands, furniture makers and contract buyers abroad, finished leather is the right choice: it carries nil Indian export duty, arrives ready to cut, and can be tested against your market's chemical limits before shipping. If your business finishes leather in-house, crust gives you control over colour and surface at nil duty. Raw hides and wet blue are generally uneconomic to source from India while the 40% and 20% duties apply.
Whichever form you choose, build testing into the order. EU and UK importers should request chromium VI results; see our chromium VI testing guide for leather from India. India's leather, footwear and accessories exports reached $4.89 billion in 2025-26, and the Council for Leather Exports projects about $5.5 billion in 2026-27 (Outlook Business, September 2026), so supply of export-grade finished leather is well established.
How Sanwas International works with overseas leather buyers
Sanwas International is an LWG-certified OEM and private label leather manufacturer based in Jalandhar, Punjab, India, producing footwear, outerwear, furniture leather and hides for brands in India and worldwide. We supply finished leather hides in cow, buffalo, goat and sheep, alongside finished products made from them, with AQL inspection before dispatch. See our leather hides supply range and materials and leather expertise, or request a quote for finished leather hides.
Frequently Asked Questions
Is there export duty on finished leather from India in 2026?
No. As of October 2026, finished leather of goat, sheep and bovine animals carries nil export duty under India's export-duty notification (No. 27/2011-Customs, as amended by No. 37/2024-Customs). Crust leather has also been at nil since 2 February 2025. Only raw hides and skins and tanned wet-state hides such as wet blue still attract export duty.
Can I buy wet blue hides from an Indian supplier for my tannery in Europe?
You can, but tanned hides in the wet state, including wet blue, attract 20% Indian export duty unless they are E.I. tanned leather, so they are rarely price-competitive. Most overseas tanneries and leather goods makers now buy Indian crust leather, which has been duty-free on export since February 2025, and finish it themselves, or buy fully finished leather.
Who pays India's export duty on leather, the buyer or the supplier?
The Indian exporter declares and pays any export duty when the shipping bill is filed, so it is built into the price you are quoted rather than billed separately at your end. Ask every supplier to show the 8-digit ITC-HS code on the quotation and invoice, so you can see whether the goods fall in a nil-duty or dutiable line.
What documents should come with a finished leather shipment from India?
Expect a commercial invoice and packing list showing the HS code, the agreed Incoterm (for example FOB or CIF), the bill of lading or airway bill, and a certificate or statement of origin if you want to claim a preferential rate under a trade agreement such as India–UK CETA. For the EU and UK, also request chromium VI test reports and, where your brand requires it, the tannery's LWG audit details. Your own import duty depends on your country's tariff for the HS code, so confirm it with your customs broker before shipping.
Does India's nil export duty on crust leather mean I should change my HS code?
Only if the goods really are crust. Crust leather (dried after tanning, e.g. HS 4104 41 or 4104 49 for bovine) is nil, while the same hide shipped in the wet state (HS 4104 11 or 4104 19) carries 20%. Ask the tannery to describe the processing stage on the invoice and keep test or production records, because misdescribing wet blue as crust can lead to duty demands and shipment holds.
Sourcing Crust or Finished Leather from India? Request a Quote
Tell us the leather type and animal (cow, buffalo, goat or sheep), the finish, thickness and colour, your target quantity in square feet or hides, the destination country, your preferred Incoterm and the delivery date you are working to. Sanwas International supplies buyers across India and exports worldwide, and
Include these details in your enquiry:
Product category and style (footwear, jacket, upholstery leather, hides or crust)
Leather type, finish and colour
Target quantity per style and colour
Delivery city in India or destination country, plus preferred Incoterm
Target delivery date and whether you need sample hides before bulk
Contact Sanwas International
Mob: +91 8728858686
Address: 308 Leather Complex, Kapurthala Road, Jalandhar, Punjab 144002, India
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