en.Wedoany.com Reported - Hindustan Zinc Limited (HZL) announced on July 9, 2026, an increase in the prices of zinc ingots and lead ingots. The benchmark price for Special High Grade (SHG) zinc ingots was raised by 4,900 rupees per tonne (equivalent to $57) compared to July 6, reaching 379,700 rupees per tonne (approximately $4,438 per tonne); the benchmark price for lead ingots was increased by 900 rupees per tonne (about $10), rising to 211,200 rupees per tonne (approximately $2,468 per tonne). However, this adjusted producer benchmark price remains below the actual transaction levels in the domestic spot market. According to data from industry assessment agency BigMint, the spot price of SHG zinc ingots for delivery in Delhi on July 9 was 381,000 rupees per tonne, up 3,000 rupees per tonne in a single day, implying a premium of approximately 1,300 rupees per tonne over the HZL benchmark price. The narrowing price spread indicates that tightening supply in the physical market is pushing prices higher.

On the London Metal Exchange (LME), at the close on July 9, three-month zinc futures were quoted at $3,542 per tonne, up 0.4% from the previous trading day; three-month lead futures were quoted at $1,890 per tonne, down 0.05%. Tightening supply in the physical market provides support for zinc prices. Feedback from the trade sector indicates that the volume of imported goods recently arriving at Indian ports is limited, with only some previously delayed cargoes gradually flowing in, which is insufficient to effectively supplement supply. Meanwhile, rising production costs at major smelters and planned maintenance activities are also constraining supply. Market participants point out that although spot transactions are already above the producer benchmark price, HZL's pricing adjustment remains an important reference for domestic zinc product trade negotiations.

From a fundamental perspective, tightening supply continues to support the zinc market. LME inventory data shows that zinc stocks have steadily declined over the past week, decreasing from 119,200 tonnes on July 1 to 115,925 tonnes on July 8, with exchange-available volumes shrinking. Due to limited import inflows, persistently tight zinc concentrate supply, and production-side constraints, domestic refined zinc supply in India is expected to remain relatively tight. On the demand side, consumption in the galvanizing and die-casting sectors remains broadly stable. Overall, constrained supply, declining exchange inventories, and a strengthening physical market are expected to continue supporting domestic zinc prices in India. However, global macroeconomic uncertainties and price fluctuations in the international base metals market may still pose short-term disruptions, prompting downstream users to maintain cautious procurement strategies amid improving fundamentals.