The decline in acreage spans all five major chilli-growing states—Madhya Pradesh, Maharashtra, Andhra Pradesh, Telangana and Karnataka. Even colouring varieties such as Byadgi, Dabbi and 5531 have seen reduced plantings. In Karnataka, the Byadgi chilli area has fallen by nearly 50 per cent this year, while Madhya Pradesh has reported a drop of about 30 per cent, Voddepalli noted.

According to Basavaraj Hampali of Hampali Traders in Hubballi, chilli acreage in Karnataka is down by more than 25 per cent. The key Byadgi-producing belts of Kundagol and Annigeri near Hubballi have suffered crop losses due to recent heavy rains, though the crop condition in the Ballari region appears favourable, he said.

Dry chilli prices have begun rising since last week, driven by lower acreage and an expected delay of roughly 25 days in new-season arrivals. Demand for cold-storage chillies is also likely to strengthen, Voddepalli added. Average prices are currently about 15 per cent higher than the July–August levels of ₹130–135 per kg.