Coronavirus scare affects Chile's exports from Andhra Pradesh, Telangana to China
GUNTUR: The prices of the famous varieties of Guntur and Teja chili have been reduced by almost 50% in the courtyard of the Guntur market, the largest chili market in the country. The sharp decline has been largely caused by the outbreak in China, one of the largest importers of Indian chili. The neighboring country has suspended imports since the virus outbreak, leaving Chile's producers in and Andhra Pradesh worried.
Prices have dropped to between Rs 5,000 and Rs 7,000 per quintal in recent days. The peppers, known for their high heat ratio, were priced between Rs 9,000 and Rs 12,000 until fifteen days ago.
In fact, the prices of the Teja variety touched between Rs 16,000 and Rs 20,000 per quintal in December, thanks to demand from China and Bangladesh. Bangladesh exports this chili to China after buying the shares of India.
The fall in the price of Texas has also affected the prices of other varieties of low quality. Although Rs 8,000 per quintal is considered remunerative for producers, it ranged between Rs 4,000 and Rs 6,000 per quintal for ordinary varieties.
The Teja variety is considered the highest quality stock and has a high price mainly in China. Interestingly, the Texas broth, which comes with a very high spicy, is not a favorite broth for many other importers, since they prefer slightly less palatable varieties.
“We are monitoring the situation closely. It seems a temporary stop. We will take appropriate measures to rescue the farmers if prices go down even more, ”the chairman of the agricultural market committee, C Yesuranthnam, told TOI.
China uses the Teja variety to make many products that are then exported, P Suresh Reddy chili exporter told TOI. He added that merchants involved in international business have urged merchants in the Guntur shipyard to delay purchase after the export restriction. The sources said that many Indian companies handle exports to China through Bangladesh due to the ease of doing business and low taxes.