Funny thing is, the peppers are not lanky, nor do they look unhealthy. But for January starters, something is wrong here.

The medium they're in does look like actual soil, meaning earth, which is not good in a container. It is possible that this has choked and stunted the growth of the root system and that of the whole plant by extension.

The best right now would be to transplant them in individual pots, perhaps 4" or 6" max, with drainage holes. Buy a quality potting mix to use in these and if you can find some perlite, mix in a liberal amount of it to make the new medium even lighter for improved drainage.

You will then want to harden them off, which is gradually introducing them to outdoor conditions, namely stronger light, wind and cooler nights. The key word is gradually: a few hours in full shade for few days, then either overcast days or dappled shade, then little by little in direct sun, until they can take full sun all day.

You should see a marked improvement in a few week's time if you do this.

Indiana. Yes I transplanted them into backyard soil. I looked on the internet to see if that was okay and it said Indiana had loads of clay in the top soil. Could that have stunted the root growth.

Clay does sound pretty bad for a container. The plants should take off after some time in a proper medium and you'll get peppers, just a bit later in the season.

If you are growing them inside, they need as much light as possible...placing them that deeply inside that planter does not help the situation - I'm surprised they aren't more leggy. If they cannot be planted outside, repot them into good purchased soil (ProMix is ideal), and fill the pot up completely. Make sure you have drainage holes at the bottom.

Always start seed in small pots. As they grow transplant into bigger pots. I start with 6 oz solo cups....move to 12 oz...and finally to 1 QT containers before planting in the garden or into 5 gallon buckets. ProMix is excellent as Donna advised--I would avoid Miracle Grow at all costs. For some reason peppers like to dry out between watering--and planting them in a big container like that doesn't really allow that--and it looks pretty clumpy as well.

This is old but thank you for the advice. I started them in small containers. That soil had way to much clay and the rooys could not grow. They are doing much better after i follow the advice above. I moved them to a better container and put some good potting soil and they took off!!

Alright, what a difference!

now those are some happy looking habs!

Ok now im having another problem with these habaneros. They are flowering like crazy but every single flower doesnt have any pollen. I dont see any pollen falling. And they just drop off after about a week. I now have them in an indoor greenhouse i built and a 3200 lumen 50 watt led light. What am i doing wrong.

There are lots of reasons for blossom drop: days too hot, nights too cold, low humidity and more. If the plants were hardened, they would stand more chances to produce outdoors at this time of year IMO. I have a couple of habs outdoors and they've also been dropping lots of blossoms lately.

Do you have a good fan in the greenhouse? If not every morning or afternoon when you get a chance give them a good shake that should knock the pollen loose and fertilize the flowers to become peppers.

I have no fan. I shake them in the morning and at night. They have pollen now and i got three blossoms to set fruit. But for some reason they keep dropping blossoms. Im trying to narrow down the problem.

I think it is the humidity. Its too low. How would i increase humidity in the greenhouse.