Lucky Star struggles to meet demand due to fish shortage
South Africa recently experienced a mass sardine die-off.
South African food manufacturer Lucky Star Foods is grappling with a frozen fish shortage that is limiting its ability to meet demand for canned pilchards, a budget-friendly protein source for struggling families. The company's parent, Oceana Group, reported mixed results for the 11-month period ending August 31, 2026, with total sales volumes down 5% due to a 9% drop in canned fish volumes.
The shortage has also affected Oceana Group's Fishmeal and Fish Oil segment in Africa, with production volumes plunging 73% due to reduced industrial fish landings and pilchard trimmings. The company's operating margins were bolstered by higher net realized sales values, lower freight and inventory holding costs, a favorable sales mix, and increased volumes of locally caught pilchards.
However, the division faced upward pressure on production costs due to the shortage, which reduced local canning production by 60%. Although sardine mortality has decreased, precautionary fishing measures remain in place until October 2, 2026, affecting fishing opportunities due to weather conditions.
Written by urgent.news from The Citizen's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
