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Ran data migration into a default Magento 2.3.3 from Magento 1.14.4 and when ever I run setup:upgrade it takes >4 minutes in this step alone

Module 'Magento_Customer': 
Running data recurring...  

Total Customers are 468k with 18 custom attributes inly two of them are select and that also uses M2 core Yes/No source.

Any insight will be really helpful

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You can rewrite RecurringData like this

app/code/YourVendor/YourPackage/etc/di.xml

<preference for="Magento\Customer\Setup\RecurringData" type="YourVendor\YourPackage\Setup\RecurringData" />

app/code/YourVendor/YourPackage/Setup/RecurringData.php

public function install(ModuleDataSetupInterface $setup, ModuleContextInterface $context)
{
    // empty
}

And reindexer doesnot reindex but better add your own schedule to reindex customer_grid

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