Chili Prices Show Firm Sentiment as Arrivals Decline Sharply

Mumbai, April 16 (CommoditiesControl): Chili prices in major markets experienced mostly upward trends, driven by robust demand at lower price levels. Market sources indicate that prices are currently trading at a three-year low, attributed to excessive inventory and higher-than-anticipated arrivals. Despite this, demand remains subdued as arrivals continue to surge.

Arrivals in the Guntur markets were notably lower, totaling 65,000 bags, a decrease of 55,000 bags compared to the previous session. Similarly, Warangal and Khammam markets witnessed arrivals of 40,000 and 25,000 bags, respectively. Notably, arrivals in Warangal plummeted by 80,000 bags, while Khammam saw a decrease of 25,000 bags. The reopening of markets after a prolonged closure led to a significant spike in arrivals yesterday.

Reports suggest that domestic demand remains robust; however, export demand shows no signs of improvement, exerting downward pressure on prices. Nevertheless, the combination of higher carry-in stocks and unexpected supply levels is expected to constrain aggressive price hikes.