Zinc Remains Major Beneficiary of Value Rise

Zinc remained as a major beneficiary in terms of value rise. The prices of Zinc gained by 24% to Rs 206 per kg in May 2018, compared to Rs 167 per kg in March 2018. According to preliminary data recently compiled by the ILZSG, the global market for refined zinc metal was in surplus by 25000 tonnes over the first quarter of 2018 with total reported inventories rising by 118000 tonnes over the same period. World zinc mine production remained stable compared to the first quarter of 2017. This was mainly the result of rises in Australia, Turkey and the United States being offset by decreases in Canada, China and India.

Higher refined zinc metal production in Australia, Belgium, China, Norway and Peru was partially balanced by decreases in India and the United States resulting in an overall rise globally of 1.7%. A modest 0.4% increase in global usage of refined zinc metal was mainly influenced by rises in apparent demand in China and India. In Europe, Japan, Taiwan (China) and the United States, usage was lower compared to the first quarter of 2017. Chinese imports of zinc contained in zinc concentrates rose by 21.9% to 362000 tonnes compared to the first quarter of 2017. Net imports of refined zinc metal rose by 82000 tonnes to total 136000 tonnes.