UPDATE: ILZSG: January Global Zinc Market In 36,000-ton Surplus

LONDON, Mar 21 -- The global refined zinc market was in a 36,000-metric-ton surplus in January, the International Lead and Zinc Study Group said Monday.

In the first month of 2011, total production was 1.123 million tons. The higher refined zinc metal output, which rose 11% on the same month last year, was spurred primarily by increased production in China, India and Peru, the ILZSG said.

January consumption meanwhile stood at 1.087 million tons.

"An increase in European usage of refined zinc metal of 17.2% [on-year] was principally influenced by rises in Belgium, Germany and Italy. This combined with an increase in Chinese apparent demand of 34.4% resulted in an overall expansion in global usage of 18%," the group said.

The refined zinc market was in a 15,000-ton surplus in the western world during January, though, with output of 599,000 tons and demand of 584,000 tons.

In January last year, the global market was in a surplus of 91,000 tons. Total production was 1.012 million tons while total consumption stood at 921,000 tons.