This study addresses the environmental impact of expanded polystyrene (EPS) crates used in small-scale fish supply chains by evaluating sustainable packaging alternatives through multicriteria analysis (MCA) and life cycle assessment (LCA), in alignment with ISO standards. Different materials and solutions were assessed based on fragmentation, recyclability, insulation, mechanical properties, food safety, and environmental impact, among others. The results highlight recycled EPS (rEPS) as the most environmentally friendly option, although fragmentation risks remain. Wooden crates with extruded/expanded polystyrene (XPS) trays and polypropylene (PP) crates balance durability and sustainability but face operational challenges, while cardboard-based and washable PP crates generate higher environmental impacts. The findings underscore the need for improved recyclability, closed-loop supply chains, and design enhancements to align with the principles of the circular economy, as well as reducing marine pollution and conserving resource consumption.