Telangana: Buyer-induced price cuts make chilli farmers restive

As per the price forecast of made by the Agricultural Market Intelligence Centre, Prof Jayashankar Telangana State Agriculture University, chilli was expected to trade at around Rs.18,500-20,000 at the time of harvesting

Hyderabad: The chilli farmers have started taking to the streets as the fair pricing mechanism is failing to ensure their due in the major markets in the State. Though the farmers were more or less content with the prevailing prices, they are getting restive with the buyer induced cuts.

Such complaints are galore at the largest chilli markets of the State such as Khammam and Enumamula in Hanamkonda. The situation is more or less the same in all the major chilli growing districts, including Khammam, Mahabubabad, Warangal, Suryapet and Gadwal.

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As per the price forecast of made by the Agricultural Market Intelligence Centre, Prof Jayashankar Telangana State Agriculture University, chilli was expected to trade at around Rs.18,500-20,000 at the time of harvesting (from January to March 2024). The prices being fixed by the officials were in tune with the price forecast.

The prices offered at the beginning of the day in the market yards are often more than the forecast for the season. Even as the day starts on an optimistic note with trading at Rs 20,500 to Rs 20,800 per quintal, the prices dropped by Rs 4,000 to Rs 5,000 per quintal by mid day. The traders remain unyielding and the officials say they are helpless.

Confronted with similar prospects, the farmers staged protests in Khammam recently. This situation highlighted the challenges faced by agricultural communities, especially when market dynamics were leaving them totally upset. The intervention of the marketing officials hardly served the purpose. They could not ensure the farmers of their due.

Nearly four lakh acres of area was under the chilli crop this season. More than a lakh tonnes of chilli arrived in the yards by the last week of February and the arrival expected till the end of the season could be three times more.

As per the wholesale price monthly analysis, chilli fetched Rs 18,000 per quintal in the State in January last, which was much less compared to Rs 24,800 per quintal in Odisha, Rs 23,110 in Uttar Pradesh, Rs 22,459 offered in Kerala and Rs 19,391 in Rajasthan.

In 2022-23, State ranked second in the chilli area and production with a gross output of 5.07 lakh tonnes from 2.79 lakh acres and first in productivity (1816 kgs per acre, thanks to the big support extended by the government with crop investment assistance under Rythu Bandhu and timely supply of fertilizers needed by the growers.