India: Zinc dross prices rise by INR 1,400/t w-o-w; scrap market firms on steady demand

• LME zinc prices edge higher, lends support to sentiment
  
  
• Stronger procurement lifts zinc oxide prices
  
  

India's zinc scrap and dross market witnessed an upward movement this week, with prices strengthening on sustained demand from local processors. BigMint assessed zinc diecast scrap (Middle East origin) at $2,465/tonne (t) CFR west coast India, up by $5/t w-o-w, amid steady inquiry levels.

Zinc dross was assessed at INR 250,000/t ex-Delhi, up by INR 1,400/t w-o-w. In Mumbai, prices also strengthened to INR 247,000/t ex-works, supported by continued demand from local processors.

At the time of reporting, London Metal Exchange (LME) zinc prices stood at $3,126/t, up by $31/t from $3,095/t last week, providing support to domestic scrap and dross prices.

Zinc oxide (Zn 99%) prices rose by INR 6,400/t to INR 244,400/t ex-Delhi, as procurement from ceramics, rubber, and fertiliser sectors gained momentum during the week.

In north India, big-sized zinc scrap (Tukdi, Zn 97%) was offered at around INR 263,000/t ex-Delhi, while mid-sized Tukdi (Zn 97-98%) was quoted in the range of INR 252,000-253,000/t, supported by firm replacement costs.

Tata Steel's zinc dross auctions

Tata Steels Industrial By-Products Management Division (IBMD) will auction a total of 65 t of zinc dross through mjunction on 2 January and 5 January 2026. The offerings include 30 t of zinc dross top from Tata Steel Meramandali (TSM) and 35 t of zinc dross from the Kalinganagar plant. Both auctions will be conducted via the dynamic seal-bid format with e-inspection only, on an as-is-where-is basis for OSPCB-certified buyers.

Outlook

Zinc scrap and dross prices are expected to remain firm in the near term, supported by steady demand from local processors and improved downstream procurement. However, availability from upcoming auctions and movements in LME zinc prices will be key factors shaping price direction.