Fishmeal factory on the Pacific Ocean coast of Peru.
Photo: Adobe Stock.
The downward trend in fishmeal and fish oil production recorded in January and February 2026 not only continued but worsened in March. According to the latest report from IFFO – The Marine Ingredients Organisation, in the third month of the year, fishmeal output fell by 38% year-on-year.
If we talk about the cumulative production of the first quarter of the year, that of fishmeal decreased by 28% compared to 2025, while that of fish oil, although also lower, registered a less severe fall, with a decrease of 12% year-on-year, with regional resilience in Denmark/Norway and Spain.
Based on statistics shared by IFFO members in Peru, Chile, Denmark, the Faroe Islands, Iceland, Ivory Coast, Mauritius, Norway, the UK, the U.S., South Africa, and Spain—which together account for 40% of global fishmeal production and 50% of fish oil production—, the organization's intelligence reports confirmed that what it called a slight decline in fishmeal and fish oil output in 2025 has become more pronounced in Q1 2026.
The results come just one week after the closing of the IFFO Members' Meeting 2026. With record attendance—277 delegates from 35 countries gathered in Madrid for an in-depth discussion on the global marine ingredients value chain—the meeting reaffirmed the need for collaboration and coordination, particularly amid today's complex geopolitical and regulatory landscape, and in a context of high scrutiny over the sector.
As usual, in the statement about its latest report, The Marine Ingredients Organisation again emphasized Peru's role in the final results since, in an average year, the South American country alone accounts for around 20% of the global production of both fishmeal and fish oil.
"Peru's anchovy quota for the first 2026 season has been set at 1,914,049 mt, equivalent to 27% of the estimated biomass. The current biomass estimate is about 31% higher than the one from September 2025, although it is 35% lower than the March 2025 estimate and around 17% below the average for January–March surveys between 1996 and 2025," commented Enrico Bachis, IFFO's Market Research Director.
Bachis thus offered updated information on the first anchovy fishing season 2026 in north-central Peru, which, just 24 days after its opening at the beginning of April with a 36% quota reduction, saw the Peruvian Ministry of Production (Produce) order a temporary fishing closure for ten days, to guarantee spawning and prevent the capture of specimens smaller than the permitted size.
Previously, following the scientific advice from the Peruvian Institute of the Sea (Imarpe), Produce had already ordered fishing bans in several strategic coastal areas due to the high presence of juvenile fish. By closing specific areas with high fish stocks, the natural dispersal of schools of fish is encouraged.
Current fisheries management in Peru is not based on widespread closures but rather on an adaptive approach that prioritizes targeted, preventative closures. This management model has recently been internationally ratified during Peru's assessment process to the Organisation for Economic Co-operation and Development (OECD).
In March, following a rigorous evaluation of its policies, the South American country obtained a formal favourable opinion from the OECD's Committee on Fisheries, which recognized its anchovy management system as a 'world-class' benchmark.
Likewise, as every month, the other focus of IFFO's analysis was the marine ingredients market trends in China. As the organization explained when announcing its upcoming China Summit 2026 in June, the Asian giant—both a leading user of marine ingredients and the world's largest aquaculture producer—is expected to account for 42% of global fishmeal consumption by 2034.
According to IFFO's latest report, China has not yet seen this year the usual fishing rebound season that typically occurs in February and March. Market data indicated that, up to March 2026, domestic aquaculture production and aquaculture feed production for major farmed species increased year-on-year.
Thus, high inventory levels of certain species have continued to support aquaculture feed production and fishmeal use. However, The Marine Ingredients Organisation warned that these high inventories could discourage stock restocking in the next production cycle.
At the same time, the data indicated that farm-gate prices for species such as largemouth bass, snakehead, and yellow catfish remain weak, which could lead producers to reduce production in the upcoming season. IFFO analysts noted that if these conditions persist, demand for feed ingredients is likely to decline in the third quarter, which is typically the peak period for aquaculture activity.
Meanwhile, in the swine sector, piglet prices have recently eased due to oversupply and weaker-than-expected demand. As market-weight pigs would be sold in approximately six months under unfavourable price conditions, farmers restocking at current levels may face losses, which could weaken short-term demand for piglet feed and fishmeal. However, piglet demand typically peaks between March and June, which would lead to a price recovery and, consequently, an improvement in fishmeal demand.
IFFO – The Marine Ingredients Organisation finally addressed soybean meal prices, which fell amid oversupply and weaker demand. Specifically, according to China's Customs, soybean imports in the first three months of 2026 decreased by 3.1% year-on-year. Meanwhile, corn prices remained broadly stable.
