Exporters Face Rs 200 Cr Loss As South American Trade Freezes Due To Venezuela Crisis
India's exports, including medicines, safety equipment, and food products, to the region have come to a standstill in recent days.
Published : January 10, 2026 at 7:18 AM IST
Kanpur: The escalating tensions between the US and Venezuela have severely impacted India's export business, according to industry experts.
Currently, India exports medicines, safety equipment, and food products to the region, but this trade has come to a complete standstill in recent days. This has created a challenging situation for exporters in Uttar Pradesh.
Alok Srivastava, Assistant Director of the Federation of Indian Export Organisations (FIEO), stated that while a large volume of products may not be directly exported from India to Venezuela, the supply chain to neighbouring countries such as Togo and Brazil has been disrupted. The inability to deliver products to these countries is posing a significant challenge for Indian exporters, particularly those in Uttar Pradesh.
According to him, India currently exports medicines, safety equipment, ready-made garments, and some food products to the region. “While India's exports to Venezuela are relatively small, Brazil is a major market. Orders worth approximately Rs 200 to Rs 500 crore are currently on hold. Goods worth Rs 1000 crore are exported annually. Orders have not been processed for about a month, resulting in an estimated loss of around Rs 200 crore,” he added.
Srivastava further stated that Brazil is a large market, and many products from Kanpur are directly exported to Brazil. These include leather products, bags, and shoes. Given the evolving situation in Venezuela, exporters will have to wait and watch for now. Leather businesswoman Prerna Verma said that exporters in the state have been facing difficulties for several months. The Venezuela crisis has further compounded their problems, and they hope the government will provide assistance.
Mukhtarul Amin, former Chairman of the Council for Leather Exports, suggested that in light of the situation in Venezuela, Indian exporters should focus their efforts on other countries such as Togo and Brazil.
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