Spicy Shock: Chili Pepper Prices Surge to 5-Year High at 130 Baht

Kasikorn Research Center reports January 2024 fresh chili prices soared to 131.5 baht per kg, the highest in 5 years. February prices are expected to remain steady around 90 baht per kg. This is due to reduced crop areas in the Northeast and Northern regions during the harvest season (January-February), caused by severe flooding since October 2023 that prevented recovery. Looking ahead to July-October 2024, prices may drop to an average of 40 baht per kg as Thailand increases chili imports from China. Chinese chili import volumes may increase by 3.4% to 41,000 tons, coinciding with China's main harvest season, with Guizhou province as the top chili-producing region, alongside Henan and Shandong provinces as key production and export bases.