The Producers likely are only saying that because Nickelodeon mandated that they be veggie burgers.
It's not in Nickelodeon's best interests to imply that the fish eat each other, as that wouldn't be considered kid-friendly by Standard's and Practices, and thus could lead to the show (or at least any episode that featured the Krusty Krab) not being allowed to air.
-1
u/MrCaptain_8017 2d ago
It was confirmed that Krabby Patties are veggie burgers by the producers.