Farmers at a loss after chilli prices drop

Farmers in Deodurg, Lingasugur, Manvi, Sindhanur and Raichur taluks in the district are facing severe losses after the prices of the Byadagi and the Guntur red chillies plummeted to ₹6,000-₹8,000 and ₹2,500-₹3,000 respectively.

Last year, it had gone up to ₹24,000 per quintal for Byadagi and ₹14,000 for the Guntur breed.

Farmers’ leaders have urged the State government to release compensation for the affected farmers and set up procurement centres.

Compared to last year, areas with chilli cultivation was doubled this year. According to the information by the Horticulture Department in Raichur, around 10,000 acres was covered this year. It was just 2,500 acres in last year.

One reason attributed for the price crash is the excess arrival of the produce from various parts of Andhra Pradesh to open markets at Guntur, Hyderabad and Vijayawada. Farmers from Raichur were also dependent on the market in the same cities. “It was a big blow for me. I spent around ₹1 lakh per acre,” a farmer from Deodurg taluk has said.

Normally, farmers spend ₹50,000 to ₹60,000 per acre every year but this year the expenditure was increased when they used tanker water to protect withering crop due to drought and shortage of rains.

Farmers do not even have cold storage to store the produce till proces stabilise.

Only one cold storage is available in Sindhanur taluk. “The State government should set up cold storages to store the produce until a good price is offered,” farmer leader, Laxmangowda Kadagamdoddi, has said. When contacted, Santosh Inamdar, Deputy Director of Horticulture Department, told that it would be difficult to establish cold storages by the government. But, government is offering ₹1.40 crore subsidy for those who come forward to establish cold storage.

He also said that three persons had already approached the department seeking subsidy.