Signs of Increase in Arrival of Red Chilli in Producer Markets

03-Jul-2025 05:41 PM

Guntur. Last week saw a moderate improvement in the price of red chilli, prompting producers to start releasing their stocks in significant quantities to the markets.

Disawari traders, local dealers, and exporters have also begun showing renewed interest in purchasing, leading to increased activity in the market.

If heavy arrivals continue, prices may soften slightly. However, steady buyer support could lead to more stable and improved business conditions.

According to trade analysts, following the summer vacation, daily arrivals in the benchmark Guntur market of Andhra Pradesh averaged around 45–50 thousand bags.

Encouraged by favorable prices and demand, producers increased the flow of stock, pushing arrivals up to 60–65 thousand bags per day.

Although buyers are still actively purchasing, the heavy supply has slowed the pace of price increases, leading to relatively stable prices at present.

In the Warangal market of Telangana, red chilli arrivals have remained normal, and prices are moving within a narrow range. In the near term, price trends will likely depend on domestic and export demand patterns.

Despite lighter rainfall in major producing states during June, the monsoon has had limited impact on red chilli sowing. The crop’s outlook remains stable for now.

Red chilli continues to be India's leading spice in terms of both quantity and export income. While exports declined slightly in the last financial year, the outlook for the current year is optimistic, with expectations of improved export performance.