In most Indian markets, there was an overflow of red chilli bags, but the prices remained steady due to the upcoming Diwali festival. Speculations say that the price will not change this week due to the festival amidst good local demand.
4,000 bags of new chillies arrived at the Byadgi market, whereas the total number of bags arrived at the Bedia market last week was about 6,000. Out of the 6,000 bags, new chillies were between 1,000 and 1,500 bags and had moisture content.
While the demand for other varieties in the Byadgi market was steady, the 2043 variety traded for a lower price, and the spice sales were lower than expected.
Out of the total supply arrived at Bedia, 20 percent was reported to be of good quality while 80 percent was of fatki variety.
The weight of the bags that arrived at the market was about 35 kg each.
According to the experts, the higher arrival of the spice amidst lesser demand in the export market will eventually impact the price.
Dry Chilli S4 Stemless Price
|November 1st, 2021||$2,010 per kg FOB|
|October 28th, 2021||$2,015 per kg FOB|
Red chilli prices witnessed price increase only once last month.
Reports suggest an overflow of spice in the cold storage in Telangana, Andhra Pradesh, and Karnataka. Due to which buyers are waiting for the price to drop further before they start purchasing and stocking up.
According to experts, red chilli fetched good prices for the farmers and traders of the crop in the last two years; they have increased the sowing areas in Andhra Pradesh, Telangana, and Karnataka.
Coming marker year may witness the cap in the prices of the crop. The sowed red chillies are currently between transplantation and vegetative stage.
The acreage for Andhra Pradesh alone is reported to have increased from 139,000 hectares last year to 183,550 hectares this year. On average, the sowing area for red chilli in the state is estimated to be about 137,946 hectares.
Estimated Production of Red Chilli
The overall production of red chilli for 2022 is estimated to be up by 15.10 percent this year compared to last year.
|2021||1.384 million MT|
|2022||1.593 million MT|
Buyers are likely to become more active after Diwali as the higher prices might get corrected. However, stockists may start offloading their products in the coming days as the new crop’s arrival is likely to start from January in the Guntur market. Ly to start from January in the Guntur market.
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