The numbers
According to the Spices Board of India, chilli exports in the financial year 2024-25 rose 19 percent in volume to about 715,500 tonnes, from 601,000 tonnes the year before, while value fell 11 percent to about US$1.34 billion as prices came down from the 2023-24 peak. Chilli was the largest single item in India's spice export basket of 1.8 million tonnes worth US$4.72 billion.
Volume growth came mainly from China and Bangladesh, which buy hot varieties in bulk. Value in the western markets is steadier because those buyers pay for specification, treatment and documentation rather than for heat per tonne.
Who buys Indian chilli
| Market | What it buys | What it asks for |
|---|---|---|
| China, Thailand, Southeast Asia | Teja S17 pods and stemless pods in volume for hot pot, sauces and extraction | Heat, price, colour retention; large lots |
| Bangladesh, Sri Lanka, Nepal | Sannam and Teja pods and powder | Price, moisture, steady supply |
| Gulf states | Powder and pods for masala packers and food service | Colour, heat by segment, halal documentation |
| United States, Canada | Powder, flakes, whole pods for brands and food manufacturers | FSMA supplier verification, COA per lot, ETO or steam, Sudan and aflatoxin results |
| European Union, United Kingdom | Steam-sterilised powder and flakes; Byadgi and 341 for colour | ETO-free with test, aflatoxin and pesticide compliance, health certificate, traceability |
| Australia, New Zealand | Powder and flakes for brands and food service | Phytosanitary conditions, microbiology, COA |
| Africa | Pods and powder for wholesale and repacking | Price, moisture, packaging strength |
How the trade is structured, and who the exporters are
Importers often ask who the top chilli exporter in India is. There is no official league table, and the answer depends on what is counted. By value, oleoresin and capsaicin extractors, several of them in Kerala and Andhra Pradesh, move the most Teja. By volume of whole pods, large merchant exporters trading from the Guntur auction dominate the China and Bangladesh trade. National spice brands export retail packs under their own names. And a layer of specialist export houses, Richvane among them, sells specification-driven powder, pods and flakes to importers, brands and manufacturers in the west and the Gulf.
For a buyer the category matters less than the capability: the ability to write a specification and meet it, the right treatment for the market, an accredited laboratory report per lot and clean documents. Our exporter checklist covers how to test for that.
What changed in 2025 and 2026
- EU controls eased for Indian Capsicum. Implementing Regulation (EU) 2026/194 moved dried, crushed or ground Capsicum from India from Annex II to Annex I of Regulation 2019/1793 with effect from 18 February 2026: no per-consignment certificate, but 20 percent identity and physical checks for ethylene oxide continue.
- Volume up, prices down. The 2024-25 crop was large and prices retreated from the 2023-24 highs, which lifted volumes to China and Bangladesh.
- Pesticide scrutiny. EU and UK importers increasingly require multi-residue screens on the shipping lot, driving exporters toward farmer-group sourcing with recorded spray histories.
- Steam as the default for the west. More US and Gulf buyers specify steam sterilisation to keep one global specification.
- Traceability and digital documents. Spices Board processes, e-phytosanitary certificates and electronic bills of lading are now routine on Indian east-coast shipments.
What to expect in the 2026-27 season
Guntur sowing for the 2026-27 crop took place in August and September 2026, with harvest from December and the yard peak from February 2027. Early acreage reports will shape prices from November. Buyers who need a fixed specification for the year are best served by contracting a blend after the first arrivals, when the season's heat and colour are known, and by asking their exporter for a crop note rather than a price alone. Richvane issues such a note to enquirers each season.
Questions on this topic
Who is the largest exporter of chilli in India?
There is no official ranking. India's chilli export trade is shared between oleoresin extractors, large merchant exporters trading from the Guntur auction, national spice brands and specialist export houses. By country, India as a whole is the world's largest exporter of dried chilli, shipping about 715,000 tonnes in 2024-25. Richvane is a specialist Guntur chilli export house serving importers in Europe, the US, the Gulf, Australia, Southeast Asia and Africa.
How much chilli does India export each year?
About 715,500 tonnes worth US$1.34 billion in the financial year 2024-25, according to the Spices Board of India, up from 601,000 tonnes in 2023-24. Chilli is India's largest spice export by value.
Which countries import the most Indian chilli?
China and Bangladesh take the largest volumes, mainly hot Teja and Sannam pods. Thailand, Sri Lanka, Malaysia, the Gulf states, the United States, the United Kingdom and EU countries such as Germany, the Netherlands and Spain follow, with the western markets paying more per tonne for specification-driven, treated and tested product.
Which Indian state exports the most chilli?
Andhra Pradesh, which grows roughly 42 percent of India's chilli and hosts the Guntur market yard, the trade's price-setting centre. Telangana and Karnataka (Byadgi) are the next most important origins for export.
Is Indian chilli still under special EU controls?
Yes, but at a lighter level. Since 18 February 2026, under Implementing Regulation (EU) 2026/194, dried, crushed or ground Capsicum from India is in Annex I of Regulation 2019/1793: 20 percent of consignments receive identity and physical checks for ethylene oxide, and the earlier requirement for an official certificate with every consignment has been removed.
Sources
- Spices Board of India, major item-wise export of spices 2024-25
- Spices Board of India, spice export review 2024-25 (17.99 lakh tonnes, US$4.72 billion)
- Commission Implementing Regulation (EU) 2026/194 of 28 January 2026
- Ministry of Agriculture and Farmers Welfare, horticulture statistics 2024-25, state-wise chilli production
- India Brand Equity Foundation, spice industry and exports