India’s red chilli production has rebounded during 2022-23 and the crop is seen higher by up to a third as farmers gained control over the invasive pest black thrips that had wrecked havoc in the key producing States of Andhra Pradesh, Telangana and Karnataka. As a result, cold storages are seen up to the brim in these States, according to the traders.

“The crop is very good this year, around 35 per cent more than last year,” said Sambasiva Rao, President, All India Chilli Exporters Association in Guntur. Rao estimates the crop size in Andhra and Telangana at about 2.7 crore bags of 40 kg each compared with 2 crore bags a year ago. “This year, the incidence of black thrips is less. In the previous year it was problematic. Now farmers now know how to tackle it and the crop is good this year,” Rao said.

From late last week, the market yard in Guntur, the largest market has been closed for a month for the summer.

Higher output

Meanwhile, prices have eased by about 20 per cent from peak levels in March, said Ravipati Peraiah of Vijayakrishna Spices in Hyderabad. Prices which had moved to range of ₹260-280 per kg during March, depending on the quality, have now eased to the levels of ₹180-240, he said.

Peraiah estimates the total red chilli crop across all producing States to be about 10-15 per cent higher this year. “Chilli crop, which was impacted by black thrips and excess rains last year, is seen better this year, as farmers have taken to spraying a lot of pesticides and delayed the sowing by about a month,” he said.

In Karnataka, the production of Byadgi chilli crop variety, known for less pungency and higher colour content, has rebounded. “The market arrivals are about 700 per cent more this year on higher crop and the season is seen extending till May-end on delayed arrivals as compared to the normal of mid-March” said Basavaraj Hampali of Hampali Traders in Hubballi. Also the farm gate purchases by masala makers and the trade have been good this year.

A higher crop has resulted in cold storages filling up in these States. Karnataka, which has a cold storage capacity of about 60 lakh bags, has already shown an occupancy of 75 per cent, Hampali said. This is in contrast to the situation witnessed last year, when the entire market depended on the carry-forward stocks from the previous year.

Rao estimates the cold storages to be full by about 75 per in Telangana and by about 70-75 per cent in Andhra. Farmers are still holding the stocks at the drying yards, he added.

Further, Rao said the flare up in prices in the early part of the season led to the masala makers covering their positions. As a result, they are going slow on purchases of the variety of chillies such as 341, DD, Syngenta among others.

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