Project report for Chilly Cultivation

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The Chilies are most important and worthwhile commercial crop that’s plays a vital role in the world economy since it is widely grown spice amongst all the spice crops. The most important chilli growing states in India are Andhra Pradesh, Maharashstra, Karnataka and Tamil Nadu, which together constitute nearly 75 per cent of the total area. Andhra Pradesh tops the list in dry chilli production followed by Tamil Nadu, Maharashtra, Orissa and Karnataka. Its production level hovers around 1.2 million tonnes annually. India also has the maximum area dedicated to the production of this crop. Usually, they are also known as “Chili Pepper” throughout the world.These are mostly eaten for their excellent spicy taste and flavored pungency. The active element “Capsaicin” one kind of alkaloid present is chilies is also extracted from them and is used as a medicinal ingredient.

The chili pepper, from Nahuatl chilly, is the berry-fruit of plants from the genus Capsicum which are members of the nightshade family, Solanaceae. Chili peppers are widely used in many cuisines as a spice to add pungent 'heat' to dishes. Chilly can be grown in all type of soft but the sandy loam, clay loam and loam soils are best suited for it, the soil must be well drained and well aerated. Acidic soils are not suitable for chili cultivationGenerally, this crop is mostly grown to obtain the fruits to use them as a major ingredient of many kinds of curries, chutneys, and also as a culinary. They are used as a spice, vegetables, sauces, condiments, fruits and in preparation for various pickles. Chilies are so popular that they are being used by everyone, all over the world.

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Market potential & Strategy

India is the world's largest producer, consumer and exporter of chilies. India is the world leader in chili production followed by China, Thailand, Ethiopia and Indonesia. Indian chili is considered to be world famous for two important commercial qualities of color and pungency levels. Indian chili is mainly exported to Asian countries like China, Sri Lanka, Malaysia, Bangladesh, Singapore, Thailand, UAE, etc. In India, major chili producing states are Andhra Pradesh, Telangana, Tamil Nadu, Karnataka and Madhya Pradesh. Due to Corona virus, China red chili demand reported lower at Guntur Chili market. Chili prices are likely to come down further as China is the biggest buyer especially for Teja and 334 variety and they were now inactive in the spot market. Also, moisture content in new crop supply added the sentiment. From mid-February good quality supply is likely to enter in to the spot market.

Chili is considered as one of the commercial spice crops. It is the most widely used universal spice, named as wonder spice. The objective of the paper is to understand the area, production and productivity of chilies in India and export marketing of chilies. Currently, commercial chili farming is pretty successful and anyone can earn an excellent profit with instant income because there is always a great demand in the local and international market. Beside growing on the commercial open field, they can be also grown in poly houses, greenhouses, pots, containers, backyards, under shade nets, etc. However, the quality and quantity of yield are higher, if grown under controlled environmental conditions like growing in greenhouses. With advanced chili farming technology, it is also possible to grow them successfully in the hydroponic system.

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