eFishery Cuts 1,000 Jobs as Aquaculture Tech Giant Faces Potential Liquidation

Indonesian aquaculture technology company eFishery laid off approximately 1,000 employees on February 13, 2025, representing 90% of its workforce as the company faces mounting financial pressures and potential liquidation. The massive workforce reduction marks one of the most severe layoffs in Southeast Asia's agtech sector, signaling deep structural challenges for the once-promising startup that provides financing and software solutions to fish farmers across the region.

The Jakarta-based company, which had positioned itself as a leader in digitizing aquaculture operations, made the dramatic cuts as part of what sources describe as emergency cost-reduction measures amid declining revenue and investor confidence.

Context of the Decision

The sweeping eFishery layoffs reflect the company's struggle to maintain operations following a sharp downturn in demand for its digital aquaculture services and financing products. The company had expanded aggressively during the pandemic-era funding boom, hiring extensively to support its vision of modernizing fish farming across Southeast Asia through IoT devices, automated feeding systems, and credit facilities for farmers.

However, market conditions deteriorated as rising interest rates made the company's lending operations less profitable, while many traditional fish farmers proved slower to adopt digital technologies than initially projected. The company's burn rate became unsustainable as venture funding dried up and revenue growth stagnated throughout 2024.

Industry observers note that eFishery's business model, which relied heavily on providing credit to small-scale fish farmers, became increasingly risky as economic pressures mounted across the region's agricultural sector.

Impact on Operations

The massive workforce reduction affects virtually all departments within eFishery's operations, with only a skeleton crew of approximately 110 employees remaining. The layoffs span the company's technology development teams, field operations staff who worked directly with fish farmers, and corporate functions including marketing, human resources, and finance.

The company's Indonesian headquarters in Jakarta bore the brunt of the cuts, though the layoffs also impacted regional offices across Southeast Asia where eFishery had established operations to serve local aquaculture markets. Customer support and technical assistance for existing clients will be severely limited as the company operates with minimal staffing.

Sales and business development teams were particularly hard hit, effectively halting the company's ability to acquire new customers or expand its financing portfolio during this critical period.

Company Financial Background

eFishery had raised significant venture capital funding during its growth phase, including a Series C round that valued the company at over $200 million in 2022. The startup attracted investment from prominent venture capital firms betting on the digitization of Southeast Asia's massive aquaculture industry, which produces millions of tons of fish annually.

The company's core products included automated fish feeding systems, water quality monitoring devices, and a digital platform that connected fish farmers with suppliers and buyers. Its financing arm provided working capital loans to help farmers purchase feed, equipment, and other inputs.

However, the company struggled with unit economics as the cost of serving small-scale farmers proved higher than anticipated, while loan defaults increased amid economic uncertainty. Revenue growth slowed significantly in 2024 as the company found it difficult to scale profitably across diverse regional markets with varying regulatory environments.

Industry Outlook

The eFishery layoffs highlight broader challenges facing agtech startups in emerging markets, where traditional farming practices and limited digital literacy create barriers to technology adoption. Similar companies in the aquaculture technology space have faced pressure to prove sustainable business models beyond initial venture funding.

The Southeast Asian aquaculture industry remains fragmented, with millions of small-scale farmers who often lack the capital or technical knowledge to fully utilize sophisticated digital solutions. This market reality has forced many agtech companies to reassess their growth strategies and focus on more targeted, profitable customer segments.

Competitors in the space are likely monitoring eFishery's situation closely, as the company's potential liquidation could create opportunities to acquire technology assets or hire experienced talent at reduced costs.

Conclusion

The dramatic workforce reduction at eFishery represents a sobering moment for Southeast Asia's agtech sector, demonstrating the challenges of building sustainable technology businesses in traditional agricultural markets. As the company navigates potential liquidation proceedings, the layoffs underscore the importance of achieving profitability and market fit before pursuing aggressive expansion in emerging technology sectors.