80% of Hong Kong fishing vessels grounded before moratorium due to high fuel prices

Hong Kong's fishing industry is facing a severe crisis, with an estimated 70-80% of its vessels grounded nearly a month before the official annual fishing moratorium was set to begin on May 1. The Hong Kong Fishermen Consortium, led by chairman Cheung Siu-keung, attributes this unprecedented early shutdown to the soaring cost of 'red oil'—tax-free diesel dyed for marine use—which has more than doubled in price due to the ongoing war in the Middle East. With fuel accounting for 30% of operating costs, Cheung stated that 80-90% of fishermen were already operating at a loss, as income from catches no longer covers the diesel expense.

The grounding of most of the fleet threatens a significant reduction in the local fish supply. While maritime sectors welcomed the recent U.S.-Iran ceasefire and reopening of the Strait of Hormuz, industry representatives are urgently calling for targeted, temporary government subsidies to help operators survive the financial strain. The situation highlights the vulnerability of critical food supply chains to global geopolitical instability and volatile energy markets, with the planned two-week government moratorium now rendered moot by economic forces.