Spice exporters may face heat from China chillies

New Delhi: China has started growing and exporting cumin and chillies, two of India's core spice exports, often with lower price tags. The development could challenge India's dominance as the world's biggest spice supplier, said industry executives.

The Chinese spices are cheaper even when the produce is first imported from India and processed locally, they said.

"China, for the last two years, has started growing cumin and chilli and has been taking the place of India in some markets," said Sandeep Vodeppalli, vice president at Big Haat.


Chillies form the backbone of India's spice exports, accounting for more than a quarter of total volume and value. Exports of chilli powder increased 35% year-on-year in 2024-25 to 80.6 million kg, while total chilli exports increased 19% to cross 700,000 tonnes. However, export earnings declined 11% during the year, underscoring the pressure on prices. In 2023-24, chilli exports had increased 15% year-on-year.

Cumin exports also recorded strong volume growth. Shipments increased 39% to 229,881 tonnes in 2024-25 from 165,269 tonnes in the previous financial year. Cumin is widely used in curries, stews and as a flavouring agent in global food processing.

Traders said that China is focusing on two chilli varieties: paprika, used mainly for colour and mild flavour, and Teja, a high-pungency variety that also finds application in pharmaceutical products such as pain-relief ointments. In addition, China has been importing large quantities of Indian chillies, processing them domestically and exporting the finished product to third countries.

"The impact of this shift may become visible over the next two seasons," said Prakash Agarwal, a bulk exporter.

Weather-related crop losses and low prices in the export market prevent farmers from planting chillies and cumin during the kharif season. The area under chilli cultivation has fallen about 35% compared to last year in Andhra Pradesh, Telangana and Karnataka, the key producers, while acreage under cumin is down 7-8%.