- Stable procurement activity supports prices
- Feedstock cost push reflects in oxide pricing
India’s zinc dross and zinc oxide markets moved slightly higher week-on-week on 18 March 2026, supported by steady procurement from domestic processors and moderate trading activity across key hubs. Market participants indicated balanced sentiment, with buyers factoring in replacement costs amid fluctuating fuel prices and ongoing geopolitical developments.
Benchmark three-month LME zinc stood at $3,087/t, down by $218/t w-o-w from $3,305/t last week, which limited stronger upside in domestic markets.
Zinc dross & zinc oxide prices move up
Domestic zinc dross prices increased by INR 5,000/t w-o-w to INR 274,700/t ex-Delhi. In western India, prices were reported around INR 270,000/t ex-works Mumbai, supported by ongoing procurement from zinc oxide manufacturers.
Market participants noted that routine buying from oxide producers kept trading activity stable, while sellers adjusted offers in line with prevailing cost structures.
Zinc oxide (99% Zn) prices increased marginally by INR 200/t w-o-w to INR 260,000/t ex-Delhi, in line with higher dross input costs.
A Gujarat-based zinc oxide producer noted that tightening LPG supplies amid the ongoing US-Iran conflict could affect galvanizing operations. According to the producer, any impact on galvanizing activity may influence zinc dross generation and feedstock availability for oxide producers.
In the north Indian scrap segment, big-sized Tukdi (97% Zn) was offered at INR 255,000-256,000/t ex-Delhi, while mid-sized Tukdi (97-98% Zn) was heard at INR 252,000-253,000/t.
Outlook
In the near term, zinc oxide producers are expected to continue procurement based on immediate requirements, while monitoring feedstock availability and cost trends. Market participants expect price direction to be influenced by LME movements, galvanizing activity levels, and input cost dynamics.
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