Firozpur farmers set to export, 700 tonnes of chillies to Dubai

After exporting 15 tonnes of green chillies to Dubai in April 2026, Firozpur farmers have planned to export 700 tonnes as they expanded their cultivation to 60 acres this year from 20 acres last season, expecting a return of Rs 2.68 lakh per acre — nearly six times higher than they used to get from wheat.

Firozpur-based Saragarhi Farmer Producer Company Ltd has signed an export contract with the same Indian company, which had handled their previous season’s shipment to Dubai and opened overseas markets to domestic growers, at the agreed purchase price of Rs 29 per kg.

The farmers are cultivating the Gauri variety, with an expected average yield of 120 quintals per acre. As 60 acres under cultivation, they are set to harvest around 720 tonnes of green chillies.

Saragarhi company’s president Balwinder Singh said the growers not only increased the area under export-linked cultivation, but were also helping other farmers understand the production practices and quality protocols required to access overseas markets.

“Last year, we had harvested around 240 tonnes from 20 acres, of which nearly 15 tonnes were exported to Dubai. Due to the West Asia war, containers were not available, and the export company sold the remaining produce in the domestic market, but paid us the same price as agreed for exports. This year, we will hand over over 700 tonnes of chillies grown on around 60 acres. Let’s see how much the company can export. According to the contract, they will provide us the committed amount for our produce. We are also helping interested farmers understand the protocols and practices required to grow produce for export,” Singh said.

He added that favourable weather could push yields to 150-200 quintals per acre, although the average was around 120 quintals.

Saragarhi company has 11 members, while around 50 additional farmers have also been connected with the initiative, according to the farmers’ group.

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At the contracted price of Rs 29 per kg, a yield of 120 quintals would generate a gross revenue of Rs 3.48 lakh per acre. After deducting cultivation costs of around Rs 80,000, including seeds, fertilisers, pesticides, field preparation and labour, the estimated return is Rs 2.68 lakh per acre. Intercropping onion and garlic between chilli plants could help farmers recover part of their expenses through additional sales, Singh said.

By comparison, Singh estimates that wheat yields around 22-24 quintals per acre. At the minimum support price (MSP), a farmer earns a net return of around Rs 40,000 per acre after expenses of approximately Rs 14,000. On these estimates, chilli offers substantially higher potential returns, making it an alternative for farmers seeking to diversify beyond the wheat-paddy cycle. Wheat and chilli are grown during overlapping periods in Punjab, making crop choice and the potential returns important considerations for farmers.

Nursery preparation begins in October, followed by transplantation in November, with the first picking expected around April. Three to five pickings are possible, depending on crop conditions and the season, with around 15 days between successive pickings.

Produce that is not exported can also be sold in domestic markets. Punjab produces around 294,915 metric tonnes of green chillies annually from approximately 19,661 hectares, with supplies going to states, including Madhya Pradesh, Himachal Pradesh, Jammu and Kashmir, Delhi and Uttar Pradesh. The Dubai shipment has opened another market.

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Firozpur is among Punjab’s leading chilli-producing districts, with more than 2,747 hectares (around 6,800 acres) under the crop, according to figures released by the state government in April.

Singh said the district had considerable potential for chilli cultivation, but government support and local processing infrastructure could help farmers capture more value. “The Agriculture Infrastructure Fund team, led by Ravdeep Kaur, helped us considerably in creating a chilli cluster and provided hand-holding to help farmers meet export quality standards, particularly requirements relating to pesticide residues. The AIF team also connected us with the export company that bought our chilli last season,” he said.

Singh claimed that Punjab’s chilli had passed the required tests, while consignments from some southern states had recently failed export checks because of pesticide residues and were rejected.

A farmers’ cluster backed by the AIF, which is a Central government scheme aimed at developing post-harvest infrastructure and improving agricultural marketing.

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Ravdeep Kaur, the then team leader with the AIF’s Punjab State Project Unit, said the team had helped organise Firozpur’s chilli growers into a cluster.

The objective is to bring farmers onto a common platform, build their capacity to meet market requirements and establish links with buyers so they can eventually manage such arrangements independently. AIF and connect them with the export company that purchased their produce, she said.

The AIF team has also identified eight other potential clusters for different crops in Punjab, but their development requires support from the state government. The initiative aims to help farmers move beyond wheat and paddy cultivation by improving access to training, market linkages and infrastructure that can connect them with high-value markets.