ARM453 AGRICULTURAL EXPORT AND IMPORT MANAGEMENT (0+10)

MARKET GROWTH RATE ANALYSIS OF DRY CHILLI

BY
AKSHAYA U K
SUPHASREEN S
INTRODUCTION
Dry chilli, also known as dried red chilli or red pepper, is a staple ingredient in many
cuisines, particularly in Asian, Latin American, and Indian cooking. It's made by drying fresh
red chilli peppers, either naturally or through a dehydration process, which removes the
moisture and preserves the chilli for longer storage and use. Dry chilli retains the intense
flavor and heat of fresh chillies, with a slightly smoky and concentrated taste. It's a versatile
ingredient used in various dishes, including curries, stews, sauces, marinades, stir-fries, and
as a seasoning. With its rich flavor and aroma, dry chilli adds depth and heat to many
recipes, making it a fundamental component in many spice blends and cuisines around the
world.
Dry chilli is a widely traded spice commodity globally, with various countries engaging in its
export and import. The export of dry chilli involves the shipment of dried red chilli peppers
from producing countries to consuming nations, while import involves the purchase and
receipt of dry chilli from foreign suppliers. Key players in the dry chilli trade include India,
China, Pakistan, and Southeast Asian countries, which export to regions like Europe, the
Middle East, Africa, and the Americas. The international trade of dry chilli is influenced by
factors like climate, production volumes, quality standards, and market demand, making it a
dynamic and competitive market.
The global market for dry chilli is significant and growing, driven by increasing demand for
spicy food, expanding international trade, and rising popularity of ethnic cuisines. India,
China, Pakistan, and Southeast Asia are major producers, accounting for over 70% of global
production. The top exporters include India, China, and Pakistan, with key destinations
being Europe, the Middle East, Africa, and the Americas. The major importers include the
US, Germany, Japan, and South Korea, driven by demand from food processing, restaurants,
and consumers. The estimated global market size is over $2 billion, growing at a CAGR of 5-
6% annually. The market is influenced by trends such as increasing demand for organic and
specialty chillies, rising popularity of online spice trading, and growing interest in exotic and
artisanal chillies. However, fluctuating production levels, quality control issues, and trade
regulations can impact market stability. The global dry chilli market is complex, with various
players, including farmers, traders, processors, and exporters, contributing to its dynamics.
AREA, PRODUCTION AND PRODUCTIVITY (WORLD)
YEAR AREA PRODUCTION PRODUCTIVITY
1997 818 11528 33.7
1998 695 11448 45.56
1999 674 22334 54.5
2000 679 23534 65.6
2001 686 26578 45
2002 848 26446 55
2003 850 24356 54.6
2004 885 33423 32
2005 528 37365 43
2006 577 36352 65
2007 589 35637 65.4
2008 592 38272 59
2009 598 23537 45
2010 584 46372 54.9
2011 552 46352 45
2012 532 25263 34
2013 566 362544 67
2014 557 66254 67.8
2015 565 24253 65
2016 659 24353 61
2017 595 65343 59
2018 607 64543 45
2019 595 64565 56
2020 580 65463 55
COMPOUND GROWTH RATE OF AREA, PRODUCTION AND PRODUCTIVITY OF DRY CHILLI IN
THE WORLD

YEAR AREA PRODUCTION PRODUCTIVITY

OVERALL (1997- 1.3019876 6.3962272 0.9455722
2020)

AREA, PRODUCTION AND PRODUCTIVITY (INDIA)

Year Area(ha) Production Productivity
1990 816.2 719 0.9
1991 846.3 615.5 0.9
1992 962.1 861.1 0.7
1993 930 800.1 0.9
1994 829.2 794.7 0.9
1995 930 800.1 1
1996 944.2 794.7 0.9
1997 840 809.7 1.1
1998 891.2 1066 1
1999 977.5 870.1 1.2
2000 884.6 1043 1.1
2001 884 1056 1.2
2002 881.2 1046.2 1.2
2003 831.6 1113 1.1
2004 774.3 906.9 1.6
2005 737.5 1235.7 1.6
2006 654 1185.5 1.6
2007 763.2 1014.6 1.6
2008 802.9 1242.1 1.6
2009 809.7 1297.9 1.7
2010 716.4 1381.5 1.8
2011 804.8 1470.4 1.8
2012 794.1 1299.2 1.6
2013 774.9 1276.3 1.6
2014 716.4 1304.4 1.9
2015 804.8 1492.1 2.1
2016 794.1 1605 1.9
2017 774.9 1520 2.5
2018 761 2096 2.9
2019 811 2149 2.2
2020 840 1743 2.8
2021 702 2049 2.9
2022 882 1836.2 2.1
2023 851.6 2782 3.3
2024 890 2912.8 3.3
COMPOUND GROWTH RATE OF AREA, PRODUCTION AND PRODUCTIVITY OF DRY CHILLI IN
INDIA

YEAR AREA PRODUCTION PRODUCTIVITY

OVERALL (1997- 0.3823738 3.586 4.0205
2020)

AREA, PRODUCTION AND PRODUCTIVITY (TAMIL NADU)

YEAR AREA PRODUCTION PRODUCTIVITY

1997 856 1456 33
1998 1,708.00 1,385.00 32
1999 1,171.00 1,278.00 34
2000 542 1436 41
2001 464 2279 42
2002 688 3451 43
2003 703 5871 46
2004 322 4344 52
2005 367 5387 55
2006 348 5176 50
2007 342 6312 43
2008 379 6202 55
2009 481 6210 56
2010 447 6122 58
2011 564 8936 59
2012 660 6565 61
2013 807 7,582.00 66
2014 1,057.00 8,923.00 63
2015 912 7573 65
 2016 1,443.00 6,770.00 67
2017 2,344.00 9,222.00 66
2018 1,906.00 9,911.00 67
2019 1,923.00 9,464.00 68

COMPOUND GROWTH RATE OF AREA, PRODUCTION AND PRODUCTIVITY OF DRY CHILLI IN

TAMIL NADU

YEAR AREA PRODUCTION PRODUCTIVITY

OVERALL (1997- 3.731 9.22 3.396
2020)

EXPORT (INDIA)

Year Value Unit Value (Rs/Kg)

Quantity (Tonnes)
(Rs. Lakhs)

1990-91 101197.3 98.04 2.1

1991-92 152867.3 125.44 1.88
1992-93 143024.8 399.31 1.94
1993-94 197205 339.36 2.32
1994-95 267632.2 337.77 2.11
1995-96 228196 436.89 2.61
1996-97 229783.1 457.73 4.51
1997-98 293451.5 756.65 2.9
1998-99 349480.6 596.48 2.46
1999-00 350133.1 647.06 4.5
2000-01 341383.2 891.74 5.24
2001-02 413624 947.65 4.26
2002-03 345343.3 802.57 4.49
2003-04 376,856.19 757.6 6.65
2004-05 455,322.88 968.52 6.34
2005-06 408,036.09 875.34 9.01
2006-07 380,541.84 1,012.75 8.7
2007-08 425,425.19 122.98 9.09
2008-09 24,534 2755.55 11.23
2009-10 32,603 8948.49 27.45
2010-11 17,038 6837.09 40.13
2011-12 30,776 7213.56 23.44
2012-13 20,096 5711.63 28.42
2013-14 56,165 19546.17 34.8
2014-15 50,051 20145.15 40.25
2016-17 51,779 15890.02 30.69
2018-19 68,019 25287.26 37.18
2019-20 63,591 25471.55 40.06
2020-21 62,448 22973.3 36.79
2021-22 69,998 25244.02 36.06
2022-23 81,022 31514.68 38.9
2023-24 81,500 35511.25 43.57
EXPORT (WORLD)
 Rank Exporting Countries Count

1 India 42,817
2 China 2,090
3 Vietnam 1,640
4 Thailand 414

5 Peru 347
6 Pakistan 264

7 Sri Lanka 234

8 South Korea 186
9 Singapore 184
10 Mexico 171

IMPORT (INDIA)
year qty(kgs) value(Usd)
1990NA NA
1991NA NA
1992NA NA
1993NA NA
1994NA NA
1995NA NA
1996NA NA
1997NA NA
1998NA NA
1999NA NA
2000NA NA
2001NA NA
2002NA NA
2003NA NA
2004NA NA
2005NA NA
2006NA NA
2007NA NA
2008NA NA
2009 5,331.58 0.92
2010 135,442.11 0.76
2011 755.96 0.05
2012 0 0
2013 450,199.79 0.66
2014 448,033.41 0.35
2015 381,007.76 1.02
2016 384,357.03 0.11
2017 465,580.99 0.62
 2018 514,078.42 0.5
2019 474,709.28 0.87
2020 394,435.88 1.14
2021 613,052.05 1.26
2022 715,968.90 2.62
2023 675,429.87 7.15
2024 116,049.52 0.77

IMPORT (WORLD)

2022 2023
qty value qty value
BAHARAIN IS 3.64 0.01
BELGIUM 4 0.02
CHINA P RP 553.24 1.38 2,598.45 5.81
CZECH 0.31 0.02
REPUBLIC
ECUADOR 0.07 0
GERMANY 1 0.01 4 0.03
IRAN 14.65 0.04 28.9 0.09
ITALY 0.4 0
KENYA 5.72 0.01
KOREA RP 43.3 0.07
MALAYSIA 10.07 0.05
MALDIVES 2.58 0.01 1.63 0.01
MYANMAR 28 0.09
NIGERIA 16 0.05 35.11 0.12
PERU 0.02 0
QATAR 14.5 0.03 12 0.03
RWANDA 18.58 0.04 66.9 0.18
SINGAPORE 6 0.02
SPAIN 12 0.04 11.98 0.04
SRI LANKA DSR 107.88 0.28 14 0.04
TANZANIA REP 187.09 0.59 15 0.05
THAILAND 14 0.04
UK 42.26 0.28
USA 13.33 0.07
UNSPECIFIED 28 0.05 13.5 0.03
ZIMBABWE 54.53 0.15
Total 715,968.90 2.62 675,429.87 7.15

Rank Buyer Countries Count

1 India 161
2 United States 71
3 United Arab Emirates 28
4 Malaysia 28
5 Thailand 20
6 Sri Lanka 18
7 China 17
8 Vietnam 16
9 United Kingdom 16
10 Qatar 13
REFERENCES
APEDA (2022). Procedure for Export of Green Chillies. In Export Procedures (pp. 12-15)
FAO (2022). Trade Data: Chilli Peppers
FAO (2022). Crop and Food Security Assessment Mission to India
Publications:
FAO (2020). The Global Spice Trade: A Review of the Markets and Trade of Spices. Rome:
FAO
FAO (2019). Food Outlook: Biannual Report on Global Food Markets. Rome: FAO
FAO (2022). Trade Data: Chilli Peppers
FAO (2020). Production Data: Chilli Peppers
FAO (2022). India - Crop and Food Security Assessment