Chilly Prices Remain Weak Amid Low Weekend Demand and Increased Arrivals

Mumbai, March 04 (Commodities Control): Chilli prices continue to experience weakness in major markets as low demand over the weekend has led to a decline ranging from Rs 500 to 1,000 per quintal. Subdued market activity, coupled with an influx of higher-than-expected supplies, has kept prices at lower levels across the board.

Despite robust domestic demand, the sluggish pace of export demand is exerting additional pressure on prices. Notably, this season's chilli arrivals have displayed high quality, a stark contrast to the challenges posed by flooding or excessive rain in the previous two seasons.

Market data reveals a significant surge in arrivals at key markets, particularly in Guntur, where the reported influx stands at 170,000 bags, more than double the previous session. Similarly, Khammam and Warangal markets witnessed increased arrivals at 75,000 and 85,000 bags, respectively. Khammam experienced a notable uptick of 30,000 bags, while Warangal saw a substantial increase of 40,000 bags.

The higher-than-anticipated supply in these markets has created an environment where prices remain under pressure despite the apparent quality improvement in this season's chillies.