Capsicum and pimenta fruits market in India

Earlier Report Observations

From 2018 to 2022, the market for fresh capsicum and pimenta fruits in India expanded consistently, with volume rising from 3.9 million tons to over 5.3 million tons. This growth was driven by the adoption of protected cultivation techniques like greenhouses, which boosted yields and quality, and by deregulation in multiple states that facilitated direct sales outside traditional markets. The rapid development of cold chain infrastructure reduced post-harvest losses, while shifting consumer preferences towards healthier diets and exotic vegetable varieties, accelerated by online grocery shopping during the COVID-19 pandemic, further stimulated demand.

In 2023, market volume declined to 5.1 million tons. This contraction was primarily due to increased exports, fueled by strong international demand, and production challenges linked to global price volatility and adverse weather conditions. Regulatory enhancements by FSSAI, enforcing stricter hygiene and quality standards, continued to shape the market during this period.

Production capsicum and pimenta fruits in India

In kind, 2017-2020, K t

From 2017 to 2020, India held the second position globally in the production of capsicum and pimenta fruits.

Top producers of capsicum and pimenta fruits, 2017-2020

World map of production of capsicum and pimenta fruits, 2017-2020

India's production of capsicum and pimenta fruits grew for the second year in a row. In 2020, the country produced 4 653 K t, marking an 8.7% increase from 2019. Over the 2017-2020 period, production rose by 18.1%, averaging an annual growth rate of 5.7%. The lowest production volume was in 2018 at 3 918 K t, which saw a slight decline of 0.6%. In contrast, the largest increase occurred in 2019, with a 9.2% rise.

Annual dynamics of production in India in kind, 2017-2020, K t

Exports capsicum and pimenta fruits from India

Exports in kind, t

Export volumes experienced significant fluctuations during this period. They reached their lowest point in 2018 at 41 028 t, with a 6.9% decline that year, before climbing to a peak of 95 742 t in 2020. This 2020 figure represented a sharp increase of 126.8% compared to 2019, resulting in a 2.3-fold difference between the minimum and maximum levels.

Annual dynamics of product's exports from India in kind, 2017-2020, t

From 2017 to 2020, the United Arab Emirates, Bangladesh, and Qatar were consistently the top destinations for India's capsicum and pimenta fruit exports in volume terms. The UAE accounted for 49.1% of exports, Bangladesh for 27.0%, and Qatar for 6.4%, together making up 82.6% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from India in kind, 2017-2020

Exports in value, K $ US

India's capsicum and pimenta fruit exports in value terms increased for the second consecutive year. In 2020, exports totaled 54 773 K $ US, showing a substantial 52.8% rise from the previous year. Over the 2017-2020 period, exports grew by 65.4%, with a compound annual growth rate of 18.3%. The lowest value was recorded in 2018 at 33 050 K $ US, which saw a minor decline of 0.2%.

Annual dynamics of product's exports from India in value, 2017-2020, K $ US

Between 2017 and 2020, the United Arab Emirates, Bangladesh, and Qatar were the primary buyers of capsicum and pimenta fruits from India in value terms. The UAE led with 56.8% of exports, followed by Bangladesh at 11.2% and Qatar at 8.3%, collectively accounting for 76.2% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from India in value, 2017-2020

Imports capsicum and pimenta fruits to India

Imports in kind, t

Import volumes showed volatility over the observed period. They peaked in 2019 at 1 t, with a 54.0% increase that year, before dropping sharply to 0.2 t in 2020, an 83.0% decrease from the previous year. This resulted in a 5.9-fold variation between the high and low points.

Annual dynamics of product's imports to India in kind, 2017-2020, t

From 2017 to 2020, Thailand and the Netherlands dominated as suppliers of capsicum and pimenta fruits to India, together accounting for 100.0% of total imports in volume terms.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to India in kind, 2017-2020

Imports in value, K $ US

Import values exhibited noticeable fluctuations during this period. They reached their highest level in 2019 at 12 K $ US, with a 69.3% increase that year, before falling to 2 K $ US in 2020, an 86.0% decline. This created a 7.1-fold difference between the peak and the trough.

Annual dynamics of product's imports to India in value, 2017-2020, K $ US

Over the 2017-2020 period, Thailand served as the main source for capsicum and pimenta fruit imports to India, consistently representing 94.6% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to India in value, 2017-2020