Red Pepper Prices Expected to Rise

30-Oct-2025 06:50 PM

New Delhi. Red pepper prices have recently risen by 3/4 of a kilogram, and market sentiment remains bullish. Earlier this week, the Guntur market was closed for two days due to Cyclone Montha. However, after trading resumed today, red pepper prices rose by 3/4 of a kilogram, and Teja prices reached 152/153 per kilogram. Rainfall in Telangana led to a holiday in Khammam and Warangal markets. Informed traders say that red pepper sowing at growing centers was already 25/30 percent lower. The current cyclone has also damaged the crop, leading to higher prices. Sources believe that a further increase in red pepper prices by 5/10 of a kilogram is possible soon.

Currently, new red chili peppers are arriving in Madhya Pradesh markets, but due to low production, the arrivals are not as expected. In Madhya Pradesh's main market, Bediya, the price of new red chili peppers, called "Dandikat", is quoted at ₹140/160, and that of "Dandidaar" at ₹120/140.

Slowdown-Rise

Experts say that a significant decline in red chili prices is unlikely until new chili peppers begin arriving in Andhra Pradesh markets. This is because the national production of red chili peppers is projected to decline for the second consecutive year. Furthermore, stocks of high-quality chili peppers are low at producing centers, while demand from exporters is consistent. The pressure of new chili pepper arrivals in Andhra Pradesh and Telangana will build in January. Sources believe that after prices rise to ₹8/10 per kg in the coming days, profit-booking and selling may increase in the market. This could lead to a short-term halt or a decline of ₹3/5. Based on current trends, it is expected that red pepper prices will remain high in 2026. Currently, red pepper prices are lower than last year. At the end of October last year, the price of Teja red pepper in the Guntur market was ₹178/180 per kg, while the current price is ₹152/153. In the Khammam market, the price of Teja red pepper during the same period last year was ₹185/187, while the current price is ₹151/152.

Higher Exports

Due to continued buying from Bangladesh, red pepper exports have registered a remarkable 63 percent increase in the first four months of the current financial year. However, due to lower prices, revenue has increased by 31 percent. According to data released by the Spices Board, red pepper exports during April-July 2025 amounted to 270,867 tons. And the income received from exports was Rs 3888.61 crore. Last year in April-July 2024, the export of red chilli was 165923 tonnes and the income received from exports was Rs 2977.95 crore. During the year 2024-25 (April-March), the total export of red chilli was 715506 tonnes and the income received was Rs 11404.90 crore.