The study was conducted in Jodhpur District of Rajasthan state. In total, 12 processing
units were selected randomly and interviewed for the study. The findings indicated that the cost
of processing per quintal of chilli was Rs. 180.06, Rs. 167.30, Rs. 234.42 for small, medium
and large units, respectively. Margin of processors increases with the increase in the size of
processing unit. Value addition by investment rupee as processing cost and returns to per rupee
investment, also increases with the increase in the size of processing unit. All the processing
units were operating above the break even quantity in the study area.