The global bell pepper market is experiencing a mix of price shifts, production challenges, and export developments across key regions. In North America, bell pepper prices are rising slightly due to lighter plantings in Mexico and uncertainty over potential tariffs, while greenhouse production in Canada faces acreage reductions. Mexico remains a leading exporter, preparing to enter the Japanese market while monitoring tariff threats from the U.S.
In Germany, an early end to the Spanish pepper season has driven up prices and shifted sourcing to Morocco, Israel, and Italy. Italy reports stable production and firm prices for Sicilian Lamuyo peppers, with local markets absorbing most of the supply. In the Netherlands, the new season has begun with higher prices, as growers contend with root issues and energy costs.
Spain faces reduced yields and early crop termination in Almeria due to pest pressure and weather, pushing prices higher. In France, low Spanish pepper volumes are pushing up prices. In South Africa, excessive rainfall has caused a supply shortage and increased prices, affecting both fresh markets and processors. Morocco is seeing strong demand and record prices due to reduced yields from cold weather and supply gaps in Europe.
Peru anticipates a significant production increase in 2025 but faces quality risks and growing export competition. In the Dominican Republic, rising tourism demand and steady exports to the U.S. and Canada continue to drive sector growth. Colombia has started greenhouse pepper exports to North America, with plans underway to expand cultivation.
North America: Bell pepper market sees price uptick
Demand for field bell peppers from Mexico has been softer over the past several months, prompting some grower-shippers to hold back products due to market conditions.
While field pepper pricing has remained relatively stable, the market has seen a slight strengthening this week, with extra-large and jumbo-sized bell peppers priced around the $20 (€18) range.
Some field plantings for bell peppers were also lighter this season, as grower-shippers faced uncertainty regarding water availability in key growing regions such as Culiacán, Mexico. Production in the U.S. Southeast is also slightly below average.
Additionally, market uncertainty persists as grower-shippers await decisions on potential tariffs for products from Mexico and Canada, which are currently on hold until April 2.
In the greenhouse segment, production of colored peppers began earlier this year in Canada, with some shippers introducing new volumes to support year-round pepper programs. However, total greenhouse pepper acreage in Canada is down this year due to Fusarium and other pressures from the previous growing season. Demand for greenhouse peppers remains strong, and prices are stable.
Mexico: Pepper exports expand amid tariff concerns
Mexico remains a leading global exporter of fresh peppers, holding a 29% share of the global market. Its main export destinations are the United States, Canada, and the United Kingdom.
In 2025, Sinaloa—one of Mexico's primary pepper-producing states—will begin exporting bell peppers to Japan. This milestone is the result of years of work to meet the strict sanitary standards required by the Japanese market and represents a strategic opportunity to diversify export destinations and strengthen Mexico's presence in Asia.
The proposed 25% tariff on imports from Mexico to the United States, including agricultural products such as peppers, could increase costs for American consumers and impact the competitiveness of Mexican exports in this key market.
Germany: Early end to Spanish pepper season drives up prices and shifts supply sources
Pest problems and storms in eastern Andalusia led to an earlier end to the bell pepper campaign. As a result, deliveries from Spain were noticeably reduced in some areas. This created a supply gap that was not fully bridged by the start of the Dutch and Belgian seasons.
Prices continued to trend upwards, with rates in Frankfurt reaching as high as €28 per 5 kg carton for red Spanish offerings. Prices exceeding €20 per 5 kg were also common in other markets. The firm price levels increasingly attracted Moroccan, Israeli, and Italian lots to the markets, which were available at lower price points and found active buyers. In contrast, interest in Spanish batches declined.
Turkish pepper imports were sold steadily, although buyers also faced rising costs. Ramadan played a role in market dynamics, with shipments from Turkey decreasing while demand increased. In the Nuremberg area, the first domestic pointed peppers are also entering the market.
Italy: Sicilian Lamuyo peppers see stable season and firm prices
Sicilian pepper production tends to focus on Lamuyo varieties, unlike Spain, for example, where the blocky pepper segment is more widely cultivated. While Sicily primarily serves the domestic market, Spain targets central and northern Europe, where a more compact fruit is preferred. Sicily produces from September/October until late summer.
Cultivation in tunnels and greenhouses has gone well this year, with no significant phytosanitary issues, thanks to favorable weather conditions throughout the season so far. Average quantities have been quite satisfactory, with quotations (for short periods) even exceeding €2/kg. Prices at the Vittoria fruit and vegetable market for yellow and red peppers currently range between €1.20 and €1.60/kg. The price difference reflects the type of batches supplied—either from the final harvest, which may consist of lower-quality produce, or from recently started crops with fruit offering better organoleptic characteristics.
A wholesaler in northern Italy notes that pepper prices have remained high for several months. He sources from Sicily, with current wholesale prices ranging between €2.30 and €2.50/kg. These prices apply to good-quality yellow or red peppers packed in double-layered crates weighing approximately 6 kg each. This year, prices from other origins, such as Spain, are also high. During the summer, the wholesaler shifts sourcing to Veneto, as Sicily has no significant production due to high temperatures.
Netherlands: Bell pepper season starts in Netherlands and Belgium with higher prices
Bell pepper cultivation in the Netherlands and Belgium is gradually getting underway. The first green peppers are being harvested in more and more greenhouses, and the yellow, red, and orange varieties are also on the way. Growers expect to be producing larger volumes by the end of March.
As with all non-lighted crops, bell pepper growers have also faced challenges due to the dark winter months. However, in recent weeks the sun has been shining more frequently, and temperatures have occasionally reached 20 degrees Celsius. Now that the first peppers are reaching the market, it is noticeable that supply from Spain is lower. This has resulted in higher prices at the auctions at the start of the season.
From a cultivation perspective, the bell pepper sector is still searching for a solution to root problems, which have caused significant crop losses in recent years. The exact cause of these problems remains unclear. Nevertheless, many growers have switched from rockwool to alternative substrates such as coconut or organic material mixtures.
Another trend is that around 50 hectares have transitioned to cultivation using a rootstock. This may allow growers to achieve a slight yield increase, but above all, it is seen as a way to create more stability and reliability in production.
Energy remains a major challenge for bell pepper growers. Many (particularly smaller) growers are working to phase out the use of boiler gas for heating, as new tax regulations have made boiler usage very expensive. Meanwhile, two larger growers are undertaking major new construction projects, expanding their operations to around or even beyond 100 hectares.
Spain: Almeria pepper season hit by pests and early end
Vegetable production in Almeria's greenhouses is proving particularly difficult this season, due to both adverse weather conditions and the increasing impact of pests such as Thrips parvispinus, which has damaged between 20 and 25% of the pepper crop. Prices are rising across almost all vegetable products in Almeria, but the situation for peppers is especially notable, with exceptionally high prices due to a scarcity of first-class produce caused by quality issues.
"It has been a very difficult year for the sector in terms of pepper production and sales," says a pepper exporter from Almeria. "There are many reports of quality problems, primarily due to the impact of the Thrips parvispinus pest, which is causing significant defects in the fruit. As a result, a large portion of the production has had to be marketed as second-class. Very little produce can be marketed as first class, and its prices are very high," he says.
The pepper supply is scarcer than usual, with notably large sizes in Almeria at this time of year. Many growers have already removed their pepper crops due to quality issues, and the season is expected to end much earlier than normal. At most, it will last another month, and a supply gap is anticipated before production begins in Murcia and the Netherlands. As a result, demand is expected to remain significantly higher than supply in the coming weeks.
According to the sales director of one of the largest cooperatives in Almeria, many growers may hesitate to invest in this crop next season. "If the impact were limited to a single season, it would be manageable, but we have now had two consecutive years of substantial damage caused by Thrips parvispinus, which was first detected in ornamental plant greenhouses. While some producers will continue growing peppers, others may opt for less risky crops, as the pest is extremely difficult to eradicate. We are therefore expecting a reduction in acreage for the 2025/2026 season," he notes.
France: Low Spanish bell pepper volumes push prices up
Spain and Holland are the main origins currently on the market. Due to bad weather in Spain, bell pepper volumes have fallen, driving prices up to very high levels. As for demand, the good weather has not yet set in for long, so it is not particularly important.
South Africa: Heavy rain cuts pepper supply and pushes up prices
Usually, at this time of year, open-land peppers are abundant on the market and the main concern is sunburn. However, this year, the extraordinary amount of summer rainfall has reduced the availability of all vegetables, including sweet peppers.
"A 4 kg to 5 kg carton of nice-looking, large red or yellow peppers sells for about R200 (€8.50), and large class one green peppers go for R120 (€5.10) to R150 (€6.40) per carton," shares a trader at a municipal market in Gauteng. "Peppers are very expensive at the moment. It's the result of the excessive rain—there's a shortage of, especially, high-quality peppers."
In three or four weeks, major pepper producers in the Mpumalanga Lowveld and around Letsitele will enter the market with their peppers, supplying throughout winter. During this period, growth is slower, and therefore volumes will remain lower than usual, following the current depressed levels.
"This is a platform being built for high prices for at least the next three months," the trader continues. He notes that the situation will affect all types of vegetables and is having a significant impact on processors, who are now forced to buy vegetables at currently elevated prices.
Morocco: Pepper prices surge as cold weather cuts yields and demand rises
Demand for Moroccan peppers is exceptionally strong this season, largely due to phytosanitary challenges affecting Spanish production. However, yields in Morocco are lower compared to last season, primarily due to low temperatures in the Souss Massa region. As a result, prices have reached unusually high levels.
A Moroccan grower noted that while the impact of viruses remains within typical limits, cold weather has posed significant difficulties for growers. "Since the start of the season in November, low temperatures have led to a drop in yield. Volumes are therefore down by almost 30% compared to the previous season. We expect yields to pick up in April and continue through to the end of the season in May," the grower said.
The grower also commented on price trends, stating, "It's not pertinent to compare prices with the previous season since the situation in Spain is exceptional. Average prices for Moroccan peppers have tripled or even quadrupled this season."
Demand remains particularly strong in key European markets, including Germany, the United Kingdom, the Netherlands, France, and Spain. The most sought-after varieties include California peppers, red bell peppers, and Kapia, with the standard long green variety also seeing some demand.
Peru: Bell pepper exports surge in early 2025
In January 2025, Peru exported 2,319 tons of bell peppers, generating $4.38 million (€4.03 million) in revenue. This reflects a 71% increase in export volume and a 65% increase in value compared to the same month in 2024. The United States remained the primary destination, accounting for 61% of total exports, followed by Puerto Rico and Spain.
Dominican Republic: Tourism drives pepper production and export growth
In the Dominican Republic, pepper production and exports have experienced significant growth over the past six years. This increase is due in part to rising demand from the local market, particularly from the hotel industry in tourist areas such as Punta Cana, Puerto Plata, and Samaná. Furthermore, the United States and Canada remain the main markets for Dominican pepper exports. This steady local demand has helped maintain favorable prices and encouraged producers to focus on product quality.
Colombia: Greenhouse pepper exports to North America
Colombia has begun exporting greenhouse peppers to the United States and Canada, with expansion projects underway to increase the area under cultivation in the coming years.
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