Thanks for your query.
The causes of dryness, crusty and powdery skin in the crease between the thigh and vagina are as follows:
-Sort of Dermatitis. The skin in the is area is very soft, the sweating initially causes excoriation of the skin, and then the skin becomes thin and is easily affected by infection. The end-result is dry, crusty and powdery skin. The used ointments and powders have their own results on the skin.
-Deficiency of vitamins and mineral too can add to the problems.
I would advise you the following:
Stop using any local applications.
Clean the area with plain water as many times as you .
Consult a Dermatologist to have a proper diagnosis and treatment.
I hope this answer helps you.
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