Sealord may cut 60 jobs in Nelson because of poor demand for a boxed fish product.
The company says it will stop making the crumbed hoki fillets - currently supplied to one offshore customer - as forecast sales volumes have fallen 38 per cent from last year.
It says sales have been on a downward trend in recent years because of cheaper, competing products.
However it looking at establishing 15 new fish processing specialist roles in its wetfish factory, as it is optimistic about its continued growth.