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PERFORMANCE OF INDIA’S CHILLI EXPORTS AND DOMESTIC PRODUCTION: AN ANALYSIS FROM 2000–01 TO 2021–22

Authors: Dr. P. Jayaprapakaran

DOI: 10.87349/ahuri/181037

Page No: 92-102


Abstract

India is the leading global producer and exporter of chilli, which is crucial to the nation's agricultural exports and farmers' livelihoods. This study evaluated the performance of India's chilli exports and domestic production from 2000–01 to 2021–22. Utilizing secondary data, it analyzed trends, growth rates, and volatility in export quantity and value, alongside changes in cultivation area, production, and productivity of chilli in India. Linear and semi-log trend models were applied to ascertain growth patterns, while the Cuddy–Della Valle Instability Index was utilized to evaluate variability. The findings indicated substantial and statistically significant growth in both the value and quantity of chilli exports, with export value increasing at a faster rate than export volume. Notwithstanding a reduction in the area dedicated to chilli cultivation, production experienced a consistent increase attributed to significant enhancements in productivity. The volatility in export value and production was greater than that of area and productivity, reflecting the impact of price fluctuations and yield variability. The study emphasized a structural transition towards growth driven by productivity, which facilitated export expansion despite the decrease in acreage. The findings highlighted the critical role of technological advancements, yield-stabilizing strategies, and quality improvements aimed at exports in maintaining India’s competitiveness in the global chilli market.

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