Peppers and chillies
Between price pressure and harvest problems

In Turkey, paprika remains a stable product that is harvested several times over a longer period of time. Nevertheless, prices are currently above the previous year's level. Although the euro is strong against the weakening Turkish lira, galloping inflation and rising costs - for example for empty cans, wages and energy - are driving up overall expenditure. Things are looking more positive in the fields: The pepper plants are proving to be largely heat-resistant and robust.

The situation is tighter for chilli peppers: Faster ripening and burning shortens the harvest period, which causes raw material prices to rise by around 20 to 25 per cent. A 5-kilo tin of pepperoni rings recently cost 5.70 to 5.80 euros; the current price is around 6.40 euros. It remains unclear whether these price increases can be implemented on the market, as Egypt, for example, offers significantly cheaper prices.

In Egypt, however, the chilli pepper market remains tight from a production perspective: High summer temperatures and heavy pest infestation are putting a strain on the harvest. Whiteflies and thrips in particular - tiny fringed winged insects that damage flowers and fruit - are affecting fruit set, especially in open field cultivation. Added to this are water shortages, rising irrigation costs and soil salinisation, which impairs quality.

While the jalapeño harvest in Egypt was pleasingly good this season, the cultivation of Lombardi peppers is under particular pressure. Heatwaves and untimely rain led to yield losses, while problems with imported seeds resulted in patchy crops. Many farmers are also switching to higher-margin crops such as tomatoes or cucumbers, meaning that the proportion of lombardy peppers is continuing to fall. This is exacerbated by labour shortages in key regions and rising transport costs.

Domestic demand is growing steadily, while stricter regulations apply to exports: Residue limits for pesticides, complete traceability of goods and complex post-harvest treatments are putting additional pressure on producers. It is currently unclear what impact these developments will have on the availability and prices of chilli peppers from Egypt in the medium term. We will continue to report on the topic in Food News and provide up-to-date assessments.

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