Stocking density is an important factor to be considered while subjecting fish seeds to transportation, since it disposes fish to stress especially under crowded conditions. Hence, palm oil has been documented as a natural product used as an anti-stress during fish transportation. Therefore, this study was designed to investigate the effects of stocking density during transportation on water quality of the transportation media and hematological parameters of the African catfish, Clarias gariepinus. Two hundred and forty fish samples of average weight 600±0.5g were randomly allotted at ten fish per treatment and replicated thrice with palm oil added to the water at two levels (0.5 and 1.5ml) and at varying water concentrations (1.0, 1.5 and 2.0 liters per fish). The fish were transported over a distance of 150km for a duration of 180 minutes. Water quality parameters of the transportation media, hematology, and serum biochemistry were determined according to standard procedures. Data obtained were analyzed using the analysis of variance (ANOVA), and means were separated using Duncan multiple range test. The results demonstrated that both palm oil concentration and transportation density significantly (P<0.05) influenced the serum and hematological parameters. The control group exhibited the highest values (P<0.05), with these values increasing with higher stocking densities. Furthermore, the duration of transit had a significant (P<0.05) impact on the blood parameters, with values increasing over time. Water quality parameters followed a similar trend, with the control group (0ml palm oil) showing the highest values, which increased with higher densities. However, the best performance for all measured parameters was observed with 1.5ml palm oil inclusion and 2.0L per fish stocking density. These findings contribute to the ongoing scientific discussion on optimizing transportation conditions for aquaculture species, promoting sustainable practices in the industry.