Mixed Trends in Chili Prices as Demand Weakens Despite Decreased Arrivals

Mumbai, March 19 (CommoditiesControl): Chili prices in major markets have exhibited mixed trends, with Warangal reporting higher prices while some varieties in Guntur and Khammam markets registered lower rates. Despite the decrease in arrivals, prices continue to decline due to weak demand.

The market is being influenced by both low demand and higher-than-expected arrivals, exerting downward pressure on prices. However, prices for Teja and Teja Deluxe varieties have maintained a wider range, experiencing a smaller decline compared to other varieties over the last one to one and a half months.

Arrivals in the Guntur and Khammam markets were reported at 100,000 and 35,000 bags, respectively. Guntur witnessed a decrease of 50,000 bags in arrivals, whereas Khammam market observed a decline of 5,000 bags. On the other hand, arrivals in the Warangal market were reported at 40,000 bags, marking a decrease of nearly 30,000 bags compared to the previous session.

The market is grappling with higher carry-in stocks along with greater-than-expected supply, which is contributing to the downward pressure on prices. Nevertheless, it's worth noting that prices have already experienced significant reductions from their previous highs. Looking ahead, prices are anticipated to remain stable to firm.