Is pilchards the new chicken?

Bye-bye chicken wings, hello “tin fish”. Pilchards are swiftly becoming the new go-to protein source for many, amid increased chicken shortages posed by the Avian Flu.

Limited chicken and egg supplies in parts of SA have left Mzansi looking for readily available and more affordable alternative protein sources – and pilchards might just be the next best thing.

Popular pilchards brand Lucky Star’s parent company Oceana has spotted a gap in the protein market and are keen to spread their fins while the demand spike lasts.

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Pocket-friendly protein

Oceana CEO Neville Brink said demand for affordable and shelf-stable protein, and promotional activity continued to boost Lucky Star sales.

He said the brand would continue to drive its volume growth strategy by remaining affordable relative to competing proteins.

“Growing Lucky Star consumption while ensuring food security for consumers struggling in an increasingly difficult environment remains key,” he told The Citizen.

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Well-stocked

Brink said, during a financial results pre-close call on Tuesday, the company was well-stocked with Lucky Star, having approximately 4.5 million units – which amounted to five months’ worth of stock.

“We have better stock in Lucky Star than we’ve had for about three years … pre-Covid level,” he said, adding the company was well-prepared to cater for the festive season.

Brink also acknowledged the importance of Stokvels to the Lucky Star brand.

“Stokvel is very big in the consumer that we service … they’re sitting with sizeable funds which they allocate to parcels over the December period, and Lucky Star is in every one of those parcels – so we are driving that volume strategy,” Brink said.

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Load shedding

He said most wholesalers were cutting down on frozen products amid ongoing load shedding, opting for non-perishables like Lucky Star pilchards which contributed to increased brand sales.  

Oceana traditionally caught 10% of its pilchards locally while importing the rest from China and Thailand. He said it would increase its imports if local demand for the product increased.

Brink said local production had increased to twenty percent this year, which reduced import costs.

“Own-caught pilchards is certainly more profitable than frozen pilchards imported from around the world,” Brink said.

When it comes to Lucky Star’s revamped popularity, Brink said the company would increase imports if local demand continued to rise.

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Avian Flu

Avian Flu has left poultry producers battling to meet consumer demand, as they are forced to take precautionary measures to mitigate the dangers posed by the virus – including having to cull chickens resulting in significant financial losses.

Warning of further hikes in egg prices, the South African Poultry Association (Sapa) recently told The Citizen SA’s poultry production capacity had been trimmed by 25% since the outbreak.

Sapa, however, said there was light at the end of the tunnel – indicating the effects of Avian Flu could slowly dissipate as temperatures rise towards the end of the year.

READ MORE: Warnings of further spike in egg prices, as SA loses more than a quarter of supply