Due to more arrival of low quality goods, red chilli business is less

12-Aug-2024 09:04 PM

Guntur. Due to less than normal business in the important markets of both the major producing states of South India - Andhra Pradesh and Telangana, the prices of red chilli are witnessing a decline.

It is understood that the arrival of red chilli in the producing markets is good but the share of low quality goods is more in it, due to which the activity of exporters has decreased.

Apart from this, the stock of goods has not decreased much in Disawari consumption centers at present and traders can wait for some more time in view of the falling prices.

Normal arrival of red chilli is happening in other major markets including Guntur. Recently, its supply in Guntur (Andhra Pradesh) was recorded at 45-50 thousand sacks while no major fluctuations were seen in the prices.

In view of the softening or stability in prices, the producers may have to consider limiting the sale of their stock. After the completion of sowing of red chilli, the crop is now going through various phases of progress.

The domestic and export demand for red chilli has not picked up yet. Bangladesh is an important buyer of it but due to political chaos there, the business has been stalled for the last several days. The demand in China is also somewhat weak.

Strong demand is not being seen in the domestic segment yet. But trade analysts say that all these are temporary decreases and normal business in red chilli may start soon. Due to rain, the movement of goods is being affected in some areas.

Due to good rainfall in the producing states, the condition of the crop is said to be better. As long as the arrival of low quality goods in the producing markets continues,

it will be difficult for prices to rise sharply. When good quality red chilli arrives, the activity of Disawari traders and exporters will increase.