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Why do MCX prices differ from international prices for gold, silver, aluminium and zinc?

The client shall be responsible for squaring off all open positions. While Zerodha may square off positions, it is under no obligation to do so. The selection and sequence of such square-offs are at Zerodha's sole discretion. Zerodha shall not be held liable for any loss or damage resulting from exercising or not exercising this right. To learn more, see Risk Disclosure Document (RDD).

MCX prices differ from international prices because you need to factor in additional costs when commodities are imported to India.

Factors causing price differences

You will notice price disparities due to three main factors:

  • Cost of insurance and freight: Transportation and insurance expenses for importing commodities
  • Basic Customs Duty (BCD) + Social Welfare Surcharge (SWS): Government taxes applied on imports
  • Warehouse delivery overheads: Storage and handling costs at delivery centres

Detailed breakdown by commodity

For Gold and Silver refer to:
For Aluminium and Zinc refer to:

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