Punjab growers expand cultivation to 60 acres, expecting returns of Rs 2.68 lakh per acre as export opportunities encourage diversification beyond wheat and paddy
Farmers in Punjab’s Firozpur district are preparing to supply more than 700 tonnes of green chillies for export to Dubai this year, building on an initial overseas shipment in April and seeking higher returns through crop diversification.
The growers, organised under the Firozpur-based Saragarhi Farmer Producer Company Ltd, have expanded chilli cultivation from 20 acres last season to 60 acres this year. They expect to harvest around 720 tonnes of the Gauri variety, with an average yield of 120 quintals per acre.
The farmers have signed an export contract with the Indian company that handled their previous shipment, with the purchase price fixed at Rs 29 per kg.
Balwinder Singh, president of the farmers’ company, said the group harvested around 240 tonnes of chillies from 20 acres last season, of which 15 tonnes were exported to Dubai. The remaining produce was sold in the domestic market after the West Asia conflict disrupted container availability, but the company received the agreed export price, he said.
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At the contracted rate, farmers estimate a gross revenue of Rs 3.48 lakh per acre
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After deducting cultivation expenses of approximately Rs 80,000, including seeds, fertilisers, pesticides and labour, the expected net return is Rs 2.68 lakh per acre
This compares with an estimated net return of around Rs 40,000 per acre from wheat, according to Singh, making chillies a potentially more lucrative alternative to traditional wheat-paddy cultivation.
The initiative involves 11 members of the farmers’ company, with around 50 other growers also linked to the programme. The group is sharing information on cultivation methods, export quality standards and pesticide residue requirements to help more farmers access overseas markets.
Support from the Agriculture Infrastructure Fund has helped organise growers into a cluster and connect them with exporters. Farmers say improved processing facilities, storage infrastructure and government assistance could further strengthen the initiative.
Punjab produces nearly 2.95 lakh tonnes of green chillies annually, with supplies reaching several Indian states. The Dubai market offers growers another outlet, although the quantity ultimately exported will depend on logistics and buyer requirements.
The initiative could encourage greater crop diversification in Punjab, where farmers continue to rely heavily on wheat and paddy.



