Tamil Nadu Agricultural University Coimbatore – 641 003 Dr. Ravi Kumar Theodore, Ph.D., Phone: 0422 - 6611302 Public Relations Officer & Fax: 0422 – 2431821 Professor (Agrl. Extension) E-mail: [email protected] To Date: 5-11-2012 The Editor,

Sir, I request that the following matter may kindly be published in your esteemed daily:

Red Chilli Prices to Decline Marginally During Harvest is the largest producer, consumer and exporter of chili, which contributes to 25% of total world production. India has produced about 12.50 lakh tonnes of chilli during 2011-12. Next to India, China is the major producer of chilli in the world. During 2010, Chinese chilli production declined sharply because of unfavorable weather conditions which became an advantage for Indian chilli exporters. In India, chillies are grown in almost all the states. is the largest producer of chilli in India contributing to about 30% to the total area under chilli, followed by (20%), Orissa (9%), Tamil Nadu (8%), Maharashtra (1%), and other States contributing 18 %.

Chillies grown in India have many special features. The Byadagi and Guntur sannam varieties are known for its natural colour. Mizoram and some areas of Manipur chilli are famous for their spiciness. Byadagi chilli is used for extracting oil. 10-15% of total domestic production is meant for exports with domestic consumption of 85-90%. India exports chilli in various processed forms like chilli powder, dried chillies, chilly pickles, chilli paste, flaked chilli, etc., and it is mainly exported to Sri Lanka, USA, Nepal, Mexico, Malaysia, Bangladesh, UAE, Indonesia and China. India’s chilli exports are drastically increasing from 2001-02. The total export of chilli from India during 2010-11 was 2.40 lakh tonnes valued Rs. 1536 crores which has increased to 2.41 lakh tonnes valued Rs. 2144 crores during 2011-12. The increase in export value is mainly due to increase in unit value. Malaysia is the largest importer of chillies from India which contributes 26% to the total exports from India. Sri Lanka stands second with 19% followed by Bangladesh (17%), USA (14%) and others (16%).

This year chilli production in Bangladesh and Pakistan is estimated to be good. Hence exports to these countries might decline. Further chilli production in China is expected to increase this year. So it will become an international competitor for export. Generally, domestic price of chilli depends on its exports. This year due to decline of export, the price may further decrease in domestic market. During 2010-11, Tamil Nadu produced 21,690 tonnes of chillies from 53,626 hectares. Ramanathapuram (samba), Thoothukudi (gundu), Sivagangai (samba), Virudhunagar (samba), Tirunelveli (samba) and Sankarankovil (samba and gundu) are the major producers of chillies in the State. Ramanathapuram and Thoothukudi together share 37 per cent and 62 per cent of chilly production and area. Tamil Nadu produces 58 per cent of the chillies under rainfed condition. It is preferable to store dried chilli in cold storage to retain colour. If cold storage facilities are used, the product could be stored for 8-10 months. In Tamil Nadu, during October-November chillies are raised in nursery or directly sown and harvested during February-March. Peak arrivals flow during April-May. Farmers are eager to know the price of chillies during the harvest period so that they can take a decision on sowing of chillies in November this year. Already harvest has started in Madhya Pradesh and about 70 lakh bags from there are expected to reach Guntur market soon. As per trade sources, in Andhra Pradesh alone there is a stock of 60 lakh bags of 45-60 kg per bag. Chillies are raised in more than 1.2 lakh hectares in Andhra Pradesh which will come to harvest by December, January. Nearly 11.50 lakh tonnes is expected to be produced during 2012-13. A stock of 3.00 lakh tonnes is already available in India. All these may exert pressure on chilli prices in the months to come.

To help the farmers, in taking a right decision on sowing of chillies, the Domestic and Export Market Intelligence Cell functioning in the Centre for Agricultural and Rural Development Studies, Tamil Nadu Agricultural University analyzed the prices of dry chillies that prevailed in Virudhunagar regulated market. Based on that it is predicted that the price would rule around Rs. 50 per kg in March - April 2013. Farmers are requested to take their sowing decision on chillies based on this price information.

For further details contact: Domestic and Export Market Intelligence Cell Centre for Agricultural and Rural Development Studies Tamil Nadu Agricultural University Coimbatore - 641 003. Phone: 0422-2431405.

For Technical Details contact: Professor and Head, Department of Spices & Plantation Crops Tamil Nadu Agricultural University Coimbatore - 641003. Phone: 0422-6611284.

Public Relations Officer