Astral Foods, South Africa’s largest chicken producer, experienced a cyberattack that resulted in over $1 million in losses due to delivery and processing delays. The incident triggered disaster recovery protocols, and although operations have returned to normal, the company warned of a drop in earnings per share. This attack highlights the rising threats facing agricultural institutions from ransomware groups.
A significant cyberattack impacted Astral Foods, South Africa’s largest chicken producer, resulting in over $1 million in losses due to delivery delays and operational disruptions. The cyber intrusion occurred on March 16, prompting the company to activate its disaster recovery protocols and preparedness plans. Astral Foods operates multiple chicken businesses, manufacturers animal feed, and produces eggs, linking it closely to the agricultural sector.
The cyberattack led to considerable “downtime in processing and deliveries to customers,” which caused lost revenue and backlogs. Overall, Astral Foods reported a loss of approximately 20 million rand, equivalent to about $1 million. The company has since restored normal operations and confirmed that no sensitive customer or supplier data was compromised during the incident.
Astral Foods cautioned investors about a substantial decrease in earnings per share due to the week-long outages resulting from the cyberattack, affecting the current financial period. In September, the company announced annual revenues exceeding $1 billion for 2024. However, details regarding the specifics of the attack and its perpetrators remain undisclosed, and no ransomware group has claimed responsibility for the incident as of the latest report.
Significantly, large agricultural institutions, like Astral Foods, are increasingly targeted by ransomware gangs, as many entities are willing to pay ransoms to avert disruptions in food supply chains. The Food and Agriculture-Information Sharing and Analysis Center disclosed that there were at least 167 ransomware incidents in the sector throughout 2023. Major food producers, including JBS, Dole, Sysco, and Mondelez, have faced similar attacks in the past five years, highlighting the vulnerability of the industry. Additionally, the U.S. Department of Agriculture (USDA) was impacted by a ransomware exploitation which exposed critical industry information.
Given the rising trend of cyberattacks on agricultural entities, the financial and operational repercussions can be severe. At least one farm reported a staggering loss of $9 million due to similar attacks in the past, underscoring the necessity for robust cybersecurity measures within the sector.
In summary, the cyberattack on Astral Foods not only incurred significant financial losses but also exemplifies the growing threat of cyber intrusions to the agricultural sector. As the industry faces increasing risks, the need for fortified cybersecurity protocols is vital to safeguard operations and maintain the integrity of food supply chains. The lack of clarity regarding the attack’s specifics emphasizes the urgency for improved security measures across similar organizations to prevent future incidents.
Original Source: therecord.media
