Sri Lanka: Chili And Pepper Market 2024

Chili And Pepper Market Size in Sri Lanka

In 2022, the Sri Lankan chili and pepper market decreased by -16.9% to $X for the first time since 2019, thus ending a two-year rising trend. Over the period under review, consumption, however, showed a prominent increase. Over the period under review, the market hit record highs at $X in 2021, and then dropped remarkably in the following year.

Chili And Pepper Production in Sri Lanka

In value terms, chili and pepper production soared to $X in 2022 estimated in export price. Over the period under review, production, however, enjoyed a resilient increase. The pace of growth was the most pronounced in 2020 when the production volume increased by 100%. As a result, production reached the peak level of $X. From 2021 to 2022, production growth remained at a somewhat lower figure.

In 2022, the average yield of chilies and peppers (green) in Sri Lanka surged to X tons per ha, with an increase of 20% on 2021. Overall, the yield, however, saw a mild setback. The pace of growth appeared the most rapid in 2018 when the yield increased by 23%. Over the period under review, the average chili and pepper yield reached the maximum level at X tons per ha in 2020; however, from 2021 to 2022, the yield remained at a lower figure. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, the harvested area of chilies and peppers (green) in Sri Lanka declined notably to X ha, waning by -38.9% against the previous year. In general, the harvested area, however, showed a resilient expansion. The most prominent rate of growth was recorded in 2021 with an increase of 349% against the previous year. As a result, the harvested area reached the peak level of X ha, and then shrank dramatically in the following year.

Chili And Pepper Exports

Exports from Sri Lanka

In 2022, approx. X tons of chilies and peppers (green) were exported from Sri Lanka; which is down by -81.8% on the previous year. Overall, exports, however, enjoyed a significant increase. The pace of growth was the most pronounced in 2021 with an increase of 560% against the previous year. As a result, the exports attained the peak of X tons, and then declined dramatically in the following year.

In value terms, chili and pepper exports reduced rapidly to $X in 2022. In general, exports, however, showed significant growth. The growth pace was the most rapid in 2021 when exports increased by 640% against the previous year. As a result, the exports attained the peak of $X, and then shrank sharply in the following year.

Exports by Country

The United Arab Emirates (X tons), Germany (X tons) and Qatar (X tons) were the main destinations of chili and pepper exports from Sri Lanka, with a combined 62% share of total exports. Japan, Saudi Arabia, Oman, Maldives and Canada lagged somewhat behind, together comprising a further 35%.

From 2012 to 2022, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Maldives (with a CAGR of +116.9%), while the other leaders experienced more modest paces of growth.

In value terms, the United Arab Emirates ($X) remains the key foreign market for chilies and peppers (green) exports from Sri Lanka, comprising 36% of total exports. The second position in the ranking was held by Qatar ($X), with a 13% share of total exports. It was followed by Saudi Arabia, with a 12% share.

From 2012 to 2022, the average annual rate of growth in terms of value to the United Arab Emirates stood at +17.2%. Exports to the other major destinations recorded the following average annual rates of exports growth: Qatar (+74.8% per year) and Saudi Arabia (+57.3% per year).

Export Prices by Country

The average chili and pepper export price stood at $X per ton in 2022, surging by 8.5% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +2.4%. The pace of growth was the most pronounced in 2021 an increase of 12% against the previous year. Over the period under review, the average export prices attained the peak figure in 2022 and is expected to retain growth in years to come.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was Oman ($X per ton), while the average price for exports to Maldives ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to the United Arab Emirates (+10.7%), while the prices for the other major destinations experienced more modest paces of growth.

Chili And Pepper Imports

Imports into Sri Lanka

After two years of decline, supplies from abroad of chilies and peppers (green) increased by 2,800% to X tons in 2022. Overall, imports, however, recorded a slight reduction. Over the period under review, imports hit record highs at X tons in 2019; however, from 2020 to 2022, imports failed to regain momentum.

In value terms, chili and pepper imports skyrocketed to $X in 2022. In general, imports enjoyed noticeable growth. Over the period under review, imports hit record highs at $X in 2019; however, from 2020 to 2022, imports failed to regain momentum.

Imports by Country

The United Arab Emirates (X tons) and the Netherlands (X tons) were the main suppliers of chili and pepper imports to Sri Lanka.

From 2012 to 2022, the biggest increases were recorded for the Netherlands (with a CAGR of +140.3%).

In value terms, the largest chili and pepper suppliers to Sri Lanka were the United Arab Emirates ($X) and the Netherlands ($X).

The Netherlands, with a CAGR of +150.5%, recorded the highest growth rate of the value of imports, among the main suppliers over the period under review.

Import Prices by Country

The average chili and pepper import price stood at $X per ton in 2022, jumping by 30% against the previous year. In general, the import price enjoyed a perceptible increase. The pace of growth appeared the most rapid in 2015 when the average import price increased by 81%. As a result, import price attained the peak level of $X per ton. From 2016 to 2022, the average import prices remained at a lower figure.

Average prices varied somewhat amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was the United Arab Emirates ($X per ton), while the price for the Netherlands amounted to $X per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the United Arab Emirates (+18.7%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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