India: HZL cuts zinc prices by INR 8,500/t, lead by INR 3,200/t

• HZL’s SHG zinc prices continue to command premium over spot market
• Supply disruptions, refined zinc deficit outlook support market sentiment

Hindustan Zinc Ltd (HZL) on 29 June 2026 reduced zinc ingot prices by INR 8,500/t ($99/t) and lead ingot prices by INR 3,200/t ($37/t) compared with its previous revision announced on 25 June.

Following the revision, HZL’s benchmark Special High Grade (SHG) zinc ingot prices were lowered to INR 365,300/t ($4,266/t), while lead ingot prices declined to INR 213,300/t ($2,491/t).

Other revised zinc grades were:

• Special High Grade-Continuous Galvanising Grade (SHG-CGG): INR 366,800/t ($4,283/t)
• Special High Grade Jumbo (SHG-Jumbo): INR 365,800/t ($4,272/t)
• High Grade (HG): INR 364,800/t ($4,260/t)
• Prime Western (PW): INR 363,300/t ($4,243/t)

On the London Metal Exchange (LME), zinc prices were trading at $3,505/t, up 0.18% as of 12:50 PM IST. The modest recovery reflected improved risk appetite following easing geopolitical concerns and continued optimism surrounding the medium-term supply outlook. However, gains remained capped by expectations of a stronger US dollar and uncertainty over the global interest rate trajectory.

Despite the latest reduction, HZL’s SHG zinc prices continued to trade above domestic spot market levels. According to BigMint’s assessment, SHG zinc ingot prices were assessed at INR 363,000/t ex-Delhi on 26 June, placing HZL’s benchmark SHG prices at a premium of around INR 2,300/t. Market participants indicated that procurement activity remained largely need-based, with consumers continuing to purchase cautiously amid fluctuations in global prices and downstream demand.

The broader zinc market continues to receive support from supply-side disruptions at several major operations. Glencore’s Kazzinc facility in Kazakhstan remains affected by reduced operating rates following an explosion, while Nexa’s Cajamarquilla smelter in Peru continues recovery efforts after fire-related damage. In addition, a seismic event earlier this year at Boliden’s Garpenberg mine has raised concerns over the possibility of prolonged lower output.

At the same time, Hindustan Zinc has strengthened its long-term sustainability strategy by signing a memorandum of understanding (MoU) with Advantek Associates LLP and Aero Eagle Automobiles Pvt Ltd to explore the adoption of green hydrogen and other clean energy solutions across its mining operations. The initiative aims to evaluate hydrogen-based technologies for underground mining, heavy earth-moving equipment and surface operations as part of the company’s transition toward low-carbon mining and its Net Zero 2050 target.

Fundamentally, the zinc market remains relatively tight. The International Lead and Zinc Study Group (ILZSG) has projected a refined zinc deficit of 19,000 t in 2026, reinforcing expectations of constrained metal availability despite recent price corrections.

Overall, global zinc prices may remain supported by ongoing supply disruptions, low inventories and expectations of a refined market deficit. However, a stronger US dollar and uncertainty surrounding global economic growth could continue to limit upside momentum. In the domestic market, buying activity is expected to remain measured, with consumers closely monitoring international price trends and downstream demand conditions.