Dispersion of PZT powder of average particle size similar to75 nm in commonly used solvent systems for tape casting namely, toluene-ethanol and MEK-ethanol (azeotropic), xylene-ethanol (zeotropic) along with triton x-100, menhaden fish oil and phosphate ester as dispersants has been studied using simple sedimentation experiments. The relative merits of these three solvent systems and dispersants in dispersing PZT powder was analyzed. In all the three solvent systems, phosphate ester was found to be the best dispersant. Xylene-ethanol with phosphate ester gave the excellent dispersion characteristics for nano-PZT powder. The results of initial dispersion studies were confirmed by the formation of defect free, denser and smooth green tapes using xylene-ethanol and phosphate ester, while the other two solvent systems gave defective green tapes. The influence of phosphate ester on dispersion is explained by the dissociation and ionization, and the dominance of electrostatic repulsion even though organic solvent systems were used.