Red chilli prices touch new highs at Guntur mirchi yard
Guntur: Red chilli prices have surged to record levels at Asia’s largest Guntur Mirchi Yard, driven by strong demand in both domestic and international markets and a significant decline in production during the current season compared to last year.
According to Mirchi Yard officials, premium varieties have witnessed a sharp price rise of 20 to 25 per cent over last year. At present, the Devanuri Deluxe (DD) variety is fetching as high as Rs 25,000 per quintal, while the Badigi variety is being sold at Rs 23,000 per quintal.
The 341 variety has touched Rs 22,500 per quintal, Teja is ruling at around Rs 20,500 per quintal, and Talu variety is being sold at Rs 11,000 per quintal. Officials said prices are likely to increase further depending on market demand.
Farmers from Andhra Pradesh and Telangana are bringing their stocks to the Guntur Mirchi Yard in large numbers to take advantage of better prices. Traders, aiming to capitalise on the demand, are exporting high-quality Teja, 341 and 334 varieties to international markets including Singapore, Bangladesh, China, Thailand and the Arab countries. Increased exports, sources said, could push prices further upward, benefiting farmers, as red chilli powder is widely used in pickles and culinary preparations in these countries.
Officials from the Agriculture Marketing Department stated that the sharp rise in prices is mainly due to reduced cultivation area and lower yields. Red chilli cultivation area has fallen drastically from 1.96 lakh hectares last year to 1.06 lakh hectares this season, following heavy losses suffered by farmers during 2024 and 2025. As a result, production this season is estimated at 5.39 lakh metric tonnes.
Currently, arrivals at the Guntur Mirchi Yard are around 70,000 bags per day and are expected to touch one lakh bags per day during the peak season. Yard officials have arranged essential facilities for farmers, including a guest house, drinking water and other amenities, and plan to introduce a free meals facility soon. Speaking to The Hand India, farmer K Sambaiah said the price rise has brought much-needed relief to farmers who incurred losses in the past two seasons, adding that the current market trend would help them recover financially.
