Red chili arrivals in Andhra Pradesh and Telangana wholesale markets, including Guntur, have been as scarce as hen’s teeth, bringing stability to prices after a previous spike. This trend is expected to hold its ground, with red chili prices anticipated to remain as steady as a rock in the days to come.
Despite the recent price hike in significant shops, such as Guntur, arrivals of red chilies remained below average. Guntur has seen arrivals of approximately 50,000 bags, a decline from the previous peak of 1.50 million bags. Despite lower arrivals, the offtake has been sluggish, contributing to the stability of this crucial grocery commodity. Notably, the number 334 red chili variety has experienced a recent increase in the local wholesale grocery market. The decline in arrivals from Bareilly and reports of crop damage in some Uttar Pradesh growing areas due to heavy rains have contributed to the price fluctuations.
The new crop of red chilies is expected to bring forth a bumper harvest this season, although there has been a hiccup in Madhya Pradesh with a delayed start. The state has been drenched by heavy monsoon rains, leaving farmers worried about the forthcoming crop. However, after the recent slump, farmers have witnessed a drop in red chili sales. Earlier, farmers in Andhra Pradesh and Telangana held back their red chili crop, keeping it close to their chests in hopes of soaring prices. This played a part in maintaining high prices in the spot market, even after the new crop arrived. Looking ahead, red chili prices are predicted to stay confined within a narrow range in the spot market.