On October 6, it was reported the chilli sowing session in Andhra Pradesh was over. It has been estimated that the acreage for the sowing has increased compared to last year and from the regular season’s plot. This year the sowing is completed in Andhra Pradesh at 164,416 hectares compared to the average year’s 137,946 hectares and last year’s 139,000 hectares.
Currently, the chillies sowed in Andhra Pradesh are between transplantation and vegetative stage.
In Madhya Pradesh, the heavy rainfall in the last few days has delayed the drying process by a fortnight to twenty days. The arrival of red chillies from Madhya Pradesh to the market will hence be delayed. Thus, the new red chillies arriving in the market on the first week of October will be reaching towards the third week of October.
Despite the heavy rain, the chilli production in Madhya Pradesh is in good form and is expected to be higher than last year. Also, it’s good news that there has been no crop damage report in Telangana and Andhra Pradesh despite the heavy rains.
Currently, the sentiment for red chillies in the market is steady as most markets were closed during the weekend. The activity in the market among the buyers is not that frequent at the time due to the higher prices of the red chillies. Buyers are aware that there is an overflow of stock in the cold storage in Telangana, Karnataka, and Andhra Pradesh. In the Byadgi market, too, the buyers are inactive due to the moisture content in the products. The new chillies arrived in the Byadgi market was about 100 bags with 15% moisture content.
Farmers are not interested in selling the chillies until they mature since the crops fetched reasonable prices last year, and there is a decrease in green chilli prices in Madhya Pradesh. Currently, it is selling between $0.16 and $0.19 per kg instead of last year’s $0.40 – $0.47 per kg. Hence the farmers are willing to wait for the red chillies to attain their full maturity.
According to market experts, chilli prices will be impacted by few factors, like the demand for export and the Teja variety prices. Currently, a reasonable price is being fetched by the Teja variety. If the price for the array goes down, it can bring down the overall red chilli price.
The production of red chilli is expected to be up by 15.10% compared to last year. As a result, the production of red chilli will be around 1.593 million MT in 2022 compared to the previous year’s 1.3854 million MT last year.
As of October 7, the price of red chilli S4 Stemless was $2,01 per kg FOB.
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