Demand for Indian chili is in high

Red chili supply in the Guntur market is going on a faster phase along with last year's cold storage stocks. The market price for good varieties is increasing daily with new crop supply. Demand is expected to be strong from masala industries. Further, strong export demand for premium varieties in the upcoming months will support the high prices.

In recent months, red chili prices had shot up after the main growing regions in Andhra Pradesh, Telangana, and Karnataka faced excess rains in October and November. Besides, the crop also faced pest attack in Andhra, the largest producer. China is India's biggest importer of red chilies, but the demand is slow as there is no parity. The Chinese buyers are waiting for Indian prices to come down.