# Chilli prices soar in Telangana as acreage and yield fall 2026-10-27T23:31:22+00:00 | Governance | Indian Opinion Desk Corroboration: 1 independent outlet Prices of dry red chilli have shot up in Telangana's wholesale markets as cultivation area and yield drop. At the Khammam market, AC red chilli touched ₹23,150 per quintal on 28 October, up from ₹21,300 a week ago, non-AC varieties fetched ₹16,300 per quintal. Traders say the price is likely to rise further after Diwali. Area under chilli in Khammam district has fallen sharply, from 69,808 acres in 2022 to 29,433 acres in 2026. Only 18,626 farmers are now growing chilli. Adverse weather, including Super El Nino and unseasonal rains, threatens standing crops. Some 7.4 lakh bags are held in cold storage as farmers wait for better prices. A China-based spice processor, Chenguang Biotech, is buying large quantities from the Khammam market. ## Indian Opinion Analysis The price jump from ₹21,300 to ₹23,150 a quintal in a week for AC teja chilli is already hitting wholesale costs. What the source leaves unresolved is how much of the 7.4 lakh stored bags will reach consumers before Diwali, when a further hike is expected. Shrinking cultivation, from 69,808 acres in 2022 to 29,433 acres in 2026, and weather damage to standing crops point to lower production this season. The next step is the post-Diwali market, where reduced supply and steady factory purchases by Chenguang Biotech could push prices higher still. ## Coverage - deccanchronicle.com Leads with price rise and reduced cultivation, citing farmer losses and weather damage without government blame This brief was synthesised by AI from the source linked above. Tags: Chenguang Biotech, chilli, Khammam, Telangana Canonical: https://indianopinion.org/chilli-prices-soar-in-telangana-as-acreage-and-yield-fall/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/chilli-prices-soar-in-telangana-as-acreage-and-yield-fall/#story-in-brief How this brief was made: an AI model read the report linked above and wrote this summary and analysis, which were published automatically. Published briefs are sampled every hour by an automated quality check; the editor verifies its findings and approves corrections, and corrected briefs carry a dated correction line. We do no original reporting. Methodology: https://indianopinion.org/ai-use-policy/