Red chilli prices turn hotter as pent-up demand surfaces

There is a sudden spurt in the costs of chillies in Telangana and Andhra Pradesh. Reviews say that a quintal of the spice is staying bought at ₹17,four hundred, which is just about double than what it was five-6 months ago.

Because the harvest period is months away, the sudden spurt in costs is attributed to the gradual opening up of provide chain sector following a extended lockdown shut markets for months.

“There has been a pent-up demand as the markets were being closed for months throughout the lockdown interval. Export channels as well are opening up following staying shut down for months,” M Ramesh, a farmer from Khammam, advised BusinessLine.

Shift from cotton

The farmers are in the process of sowing the seedlings for the recent kharif period. A fantastic quantity of farmers are sourcing the seedlings from nurseries at ₹2-three a piece. “Some cotton farmers, as well, are shifting to chillies inspired by fantastic costs. Unabated rains in the previous handful of weeks led to water logging ensuing in damage to cotton crop in numerous locations,” P Ramesh, a farmer from the Warangal Rural district, said.

Though Telangana farmers grew the spice on two.10 lakh acres, their Andhra Pradesh counterparts grew the crop on three.45 lakh acres.