Nutrient management is a key factor in determining the chilli productivity (20 to 65 q dry chilli / ha). Based on the quantities of fertilizers and organic manures used, the chilli growing farmers were grouped into 3 categories, namely local (with mod. Fert. + low OM), migrated Andhra farmers (with high Fert. + no OM) and high OM appliers (mod Fert.+ high OM). The quantity of OM used ranged from zero in case of migrated farmers to 15.8 ± 5.6 t per ha in case of high OM appliers. Similarly, the migrated farmers applied very high amounts of fertilizers while, moderate amounts were added by local and high OM applying chilli farmers. In terms of productivity, the dry chili yield was in the order of local farmers (22.0 ± 5.9 q) < migrated (45.3 ± 11.1 q) < high organic manure appliers (55.4 ± 11.4 q). The productivity increased with nutrient additions initially and higher additions did not result in terms of crop yields. The soil samples collected after the harvest showed significant changes in soil properties. The soil pH was found slightly higher in chilli cultivated soils with a range of 8.02 to 8.12 and the conductivity values also increased (0.34 to 0.39 dS m-1).  Build up of soil organic carbon was observed in all soil samples collected after the harvest. It increased to 0.45 ± 0.07 per cent among local chilli farmers to 0.69 ± 0.11 per cent in soils of high OM applied plots. Similarly, the post harvest soil samples also recorded higher availability of nitrogen, phosphorus and potassium. They were found in the order of migrated > high OM appliers > local chilli farmers. Though, the increase in available nutrient contents was in concurrence with that of the quantity of applied nutrients, higher productivity was with the application of both fertilizer and organic manure.