AMARAVATI: With the markets slowly opening up across the globe, demand for dry chilli in the international market has shot up, resulting in an increase in prices. The high quality chilli Teja variety is fetching around Rs 17,000-18,000 per quintal while other common varieties too are getting a good price of over Rs 12,000-14,000 per quintal.
Sources said that the price in the local markets was escalating thanks to the good export orders. The chilli prices were just around Rs 8,000-10,000 per quintal during the peak season before lockdown and they dipped to around Rs 6,000 per quintal due to the lockdown.
Majority of the growers sold their stocks to the merchants and their middlemen after seeing the prices nose diving during the lockdown. Sources said that around 20 per cent of the farmers kept their stocks in the cold-storages after the merchants assured them of getting reasonably good prices after the lockdown.
As anticipated by the traders, the prices started shooting up in the last 2-3 weeks.
The prices touched an all-time high of Rs 18,000 per quintal in the last two days. Sources said that about 30-40 lakh bags of stock is still parked in the cold-storages which might give decent profits to the traders. “Teja and Byadigi varieties are commanding good prices due to the demand from exporters. The prices are relatively high,” said L Kranti Sekhar, a leading chilli trader.
Commission agents association former secretary Suresh Reddy said that production loss in some of the northern states due to the sudden floods and heavy rains has triggered the prices in the local markets. He said that common varieties too were fetching around Rs 100-120 per kg which is almost 40-50 per cent increase from the lockdown period. He said that there was a demand from other states in view of the festive season.
Guntur agriculture market committee chairman Ch Yesurathnam said that they were allowing the sale of the stocks even at the cold-storage points to ease the traffic congestion in the market yard.
He said that the decision to operate market near cold-storages had also helped farmers gain good prices. About 40,000 bags per day were being transacted at the market yard which is also very high during September.