- HZL trims zinc ingot prices in line with LME drop
- LME 3-month zinc prices decline by $148/t w-o-w
India’s zinc ingot (99.995%) prices slipped by INR 5,300/tonne (t) w-o-w to INR 327,000/t ex-Delhi, according to BigMint’s assessment on 17 February. The decline was driven by weak spot demand from galvanisers and alloy makers, alongside softer global benchmarks.
On 16 February, Hindustan Zinc Limited (HZL) reduced its zinc ingot prices by INR 2,100/t ($23/t) to INR 341,300/t ($3,765/t) ex-Chanderiya, tracking the downturn in London Metal Exchange (LME) zinc prices. At the time of reporting, LME zinc 3-month prices stood at $3,299/t, down by $148/t w-o-w from $3,447/t.
In the spot market, special high-grade (SHG) zinc ingots were offered at around INR 322,000/t ex-Mumbai, down INR 8,000/t w-o-w. Australian-origin zinc premiums remained firm at $230/t over LME on a CFR JNPT basis.
In north India, Australian-origin material was quoted around INR 341,000-342,000/t ex-Delhi, as buying interest remained largely need-based amid subdued downstream demand. Market participants also reported zinc PMI deals at around INR 288,000/t, while Korea-origin zinc was quoted near INR 329,000-330,000/t ex-Delhi, indicating a narrower spread with domestic material.
A Delhi-based alloy manufacturer stated that Zamak 3 prices declined to INR 338,000-339,000/t and Zamak 5 to around INR 344,000/t ex-works.
Coated flat steel prices stable amid need-based trade
Indian coated flat steel prices remained largely stable w-o-w amid subdued trade activity and cautious buyer sentiment. Buyers showed resistance to prices amid delayed project execution and liquidity shortfalls. Procurement stayed need-based across regions, though improving enquiries and expected summer-led demand may support near-term sentiment.
Galvanised plain (GP) coils stood at INR 68,900/t ($760/t) ex-Mumbai, while pre-painted galvanised iron (PPGI) edged down by INR 100/t to INR 76,900/t ($848/t). Bare galvalume (BGL) prices remained unchanged at INR 79,000/t ($878/t). Offers were reported within GP at INR 68,500-69,500/t, PPGI at INR 76,500-77,500/t, and BGL at INR 78,500-79,500/t.
Outlook
Zinc ingot prices may see further correction if galvanisers continue to defer bulk procurement amid adequate inventories, though a sustained rebound in LME zinc could prompt domestic producers to reassess list prices. In coated flat steel, rising pre-summer project enquiries from infrastructure and white goods segments could gradually improve trade liquidity, particularly in western and northern markets, leading to improved demand for zinc ingots.
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