India: Zinc scrap, dross prices weaken amid cautious buying

• Imported diecast scrap falls, tracking LME zinc correction
• Domestic dross prices slip on muted galvaniser demand

India’s zinc scrap and dross prices softened w-o-w on 18 February 2026, as downstream buyers restricted procurement to immediate requirements amid a correction in global prices. Weak cues from the London Metal Exchange (LME) weighed on import prices, while domestic trading remained largely need-based.

BigMint assessed zinc diecast scrap (Middle East origin) at $2,640/tonne (t) CFR west coast India, down $35/t w-o-w. Three-month LME zinc stood at $3,346/t, slipping $72/t from $3,418/t last week, dampening booking interest.

A Mumbai-based importer said diecasters were deferring bulk cargoes, as OEM order flows remained inconsistent and LME volatility discouraged inventory build-up. Most buyers covered only short-term consumption, limiting fresh deep-sea commitments.

In north India, big-sized Tukdi (97% Zn) was offered at INR 258,000-259,000/t ex-Delhi, while mid-sized (97-98% Zn) stood at INR 255,000-256,000/t. Despite moderate liquidity, prices held firm as recyclers withheld stocks, anticipating a price rebound next month, tightening prompt availability.

Domestic zinc dross and oxide segment

Zinc dross prices fell INR 2,400/t w-o-w to INR 262,500/t ex-Delhi, while Mumbai levels eased to INR 260,000/t ex-works. Traders in Delhi noted galvanisers reduced spot purchases due to adequate in-house scrap generation and stable infrastructure-linked orders, curbing secondary dross demand.

Zinc oxide (99% Zn) increased INR 500/t to INR 252,500/t ex-Delhi. A Rajasthan-based producer said tyre manufacturers resumed restocking after earlier production cuts, supporting rubber-grade oxide offtake.

Outlook

Zinc scrap and dross prices are likely to remain at around current levels next week. LME trends, galvaniser procurement, and oxide demand will dictate direction, while cautious inventory management is likely to cap sharp upside.