Red chilli production to grow massively in India next year

KOCHI: Red chilli production may touch a new peak in India next year as area under the crop has risen 30 per cent to 40 per cent.

The price of the largest exported spice from India touched an all-time high of Rs 150 per kg a few months ago, which has prompted growers in the main producing regions of Andhra and Karnataka to go for increased sowing. The total chilli crop in the country is around 14 lakh tonne as per data of the Spices Board.

Prices spurred by demand from China and a 15 per cent shortfall in output from the previous year are now hovering between Rs 110 andRs 140 per kg.

“The sowing area will go up further if rains intensify and Nagarjuna Sagar dam across Krishna river gets sufficient water,” said Venkat Rosaiah, president of Guntur Chilli Commission Agents Association.

“Right now, the rains have been just enough for the crop. The prices may also drop further if it rains more.” Export demand has slowed with the harvest in China. India had record chilli exports in 2015-16. Though volumes went up marginally, value increased 12 per cent over the previous year to about Rs 4,000 crore.