Malaysian Flour Mills widens low-protein flour output to 120,000 tonnes a year
Malaysian Flour Mills Bhd will lift annual output of low-protein flour to 120,000 tonnes from 90,000 tonnes after completing a RM12 million upgrade at its Shah Alam mill, the company said on Monday.
Source: Malayan Flour Mills Berhad · August 6, 2026 at 12:07 AM · AI-assisted report
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KUALA LUMPUR, 6 AUGUST 2026 —
Malaysian Flour Mills Bhd will lift annual output of low-protein flour to 120,000 tonnes from 90,000 tonnes after completing a RM12 million upgrade at its Shah Alam mill, the company said on Monday.
Market Impact
The expansion raises the plant’s capacity for cake, pastry and self-raising flours to 40% of total milling capacity, up from 30%. Finished flour stocks at the facility now cover 30 days of local demand, versus 20 days before the upgrade, according to a company statement.
Low-protein flours—categorised by gluten levels between 7% and 9.5%—are the backbone of Malaysia’s convenience baking segment, the company said. Self-raising flour, which blends low-protein wheat with baking powder, commands about 15% of domestic flour sales by volume, while cake and pastry flours together account for roughly 12%.
The Shah Alam mill’s cake flour line, which uses soft wheat from Australia and Canada, will now process 36,000 tonnes a year, up from 24,000 tonnes. Pastry flour capacity rises to 48,000 tonnes from 36,000 tonnes, and self-raising flour grows to 36,000 tonnes from 30,000 tonnes. High-protein bread flour output remains unchanged at 180,000 tonnes.
Malaysian Flour Mills, which supplies about 40% of the country’s flour market, said the upgrade allows it to meet surging demand for lighter-textured baked goods and convenience mixes such as instant cakes and frozen pastries. Industry data show household baking sales rose 8% in the first half of 2024 versus the same period last year, driven by higher disposable income and social gatherings.
The project, completed in July, adds a new sifting system and automated packing lines that cut labour use by 20%. Energy efficiency improved 15% after the mill switched to variable-speed drives on motors, the company said.
Analysts say the expansion will pressure smaller millers and importers who rely on imported cake flour. “Local bakeries and food manufacturers now have more reliable supply and pricing visibility,” said an analyst at MIDF Research who declined to be named. “That reduces their need to keep high stockpiles of imported flour.”
Malaysian Flour Mills expects the additional capacity to be absorbed within 12 months, with export potential limited by high domestic freight costs. The company’s board approved the investment in December 2023 after securing financing from Malayan Banking Bhd.