Groomers do an excellent evening primrose oil shampoo that rehydrates the skin. They have two grades available, I use the vet grade and have had great success with it. I also use their evening primrose oil supplement.
Hi, I agree with Perry - check diet first. However it could be caused by any number of factors. If you can give us some more information about your dog (age, general health, diet, when the problem started etc) we might be able to be more specific. :)