This might be called a novelty song; its performance is certainly a novelty. "Chili" appears on the soundtrack of the 1995 film Wendigo, in which it is performed or appears to be performed by a creature that emerges from a pan of chili.
The Wendigo is a horror from Native American mythology, in particular the frozen wilds of Canada. "Chilli" is a monster in its own right, but like the rest of the songs in this so-called comedy horror film it is nowhere near as bad as the film itself. The IMDb credits it to Randall Lynch and Allan Lynch, performed by Randallen; produced by Randall Lynch, Allen Lynch, and Kevin Holevar; published by Mountain Dog Music.
Suggestion credit: Alexander Baron - London, England