In July, India imported 5,000 tonnes of pepper from countries such as Sri Lanka, Vietnam, and Brazil, leading to a significant impact on domestic prices. Sri Lanka contributed 4,350 tonnes to this influx, while Vietnam and Brazil added approximately 600 tonnes combined. The imports were processed through major ports including Jawaharlal Nehru Port, Thoothukudi, Chennai, Mundra, Tughlakabad, and Kochi.
The Free Trade Agreement with Sri Lanka permits duty-free importation of up to 2,000 tonnes of pepper this year, further exacerbating the price drop for Indian pepper. As domestic prices were initially high, the surge in imports has led to a swift decline in prices, placing a heavy burden on local farmers. The inclusion of pepper on the list of essential commodities and subsequent central government intervention aimed at price reduction has intensified the situation. This influx of imported pepper is expected to lead to increased sales of foreign chillies and continue driving down domestic pepper prices, challenging the livelihood of Indian pepper growers.
