The Shandong price index published data that shows the price index of Yingchao hot peppers from Wucheng in February reached a height of 93.27. This is the highest value in the entire market since the value of dried peppers in October 2017. Although it soon experienced negative repercussions, the price remained high.
The main domestic markets for hot pepper are recovering after the Spring Festival, but supply is still disturbed. The overall prices for domestic hot pepper are strong, and there is a slight upward price adjustment in the production areas of Wucheng and Wangdu. The volume of peppers from India increased as border ports in the south opened for trade again. At the same time, as Spring the Festival finished, relatively few wholesale dealers accepted the goods. This resulted in persistent low prices for hot peppers from India. Pressure on domestic hot peppers remains.
Overall, it has become more difficult for small vendors who travel to the countryside to purchase hot peppers, because the supply volume from production areas is small and farmers are occupied with raising seedlings. At the same time, small vendors are free to store goods until market conditions improve. As businesses increase purchasing the price may show a slight increase, but there are limits to the price increase for hot peppers from India, which remain in a weak market position.
Source: Shandong Wucheng Price Bureau