Kenanga Research reports that Farm Fresh Berhad (FFB) is fast‑tracking its regional growth, driven by a larger‑than‑expected dairy herd expansion in Pahang, the launch of a new ice cream facility next month, and a forthcoming production hub in Cambodia set to reinforce its Indochina footprint.
Kenanga noted that, following a recent investor visit to Farm Fresh’s Muadzam Shah operations in Pahang, the company is steadily scaling up production capacity while advancing its long-term sustainability agenda through climate-resilient farming practices, proprietary breeding initiatives, and integrated livestock management.
Farm Fresh’s latest dairy farm, Muadzam Shah 2 (MZ2), currently houses about 900 cattle, including 200–250 milking cows. Management has now doubled its import target to 3,000 dairy cows by November 2026, up from the earlier guidance of 1,500 by October, with milk production from the expanded herd expected to begin around March 2027.
Farm Fresh’s Muadzam Shah 2 (MZ2) facility has been designed to accommodate 10 barns in total, with six already completed and operational. Once fully built out, the site will be capable of housing approximately 4,000 dairy cows, effectively mirroring the scale of the group’s flagship Muadzam Shah 1 (MZ1) farm. This expansion underscores Farm Fresh’s commitment to strengthening its production base while ensuring its new facilities align with the capacity and efficiency benchmarks of its existing operations.
At full capacity, the Muadzam Shah complex will house approximately 8,000 cows, making it Farm Fresh’s largest integrated dairy hub. The development reflects the company’s strategy of consolidating operations into a single, high‑capacity site, ensuring greater efficiency in herd management and long‑term production stability.
Enstek Plant Development Remains on Schedule
Kenanga stated that Farm Fresh remains on track to commission its new manufacturing facility in Enstek, Negeri Sembilan, by August 2026.
The Enstek plant will specialise in ice cream production alongside polyethene bottle‑based dairy products, and is expected to more than double Farm Fresh’s daily ice cream output to around one million pieces, up from the current 450,000 produced across its Taiping and Sin Wah facilities.
The expanded production capacity is anticipated to open new export avenues, with Thailand identified as a key neighbouring market for Farm Fresh’s next phase of regional growth.
Cambodia Facility on Track for Growth
Meanwhile, the company’s US$12.8 million (RM55 million) manufacturing facility in Kampong Speu Province, Cambodia, has experienced a modest delay, slightly pushing back its anticipated progress.
The rollout of the first phase of production lines is now expected to commence in October 2026, a slight delay from the initial July–August target period.
Phase one will feature two pasteurised milk production lines with an annual output capacity of 19.3 million litres, to be followed by two ultra‑high temperature (UHT) milk lines capable of producing 34.1 million litres annually by January 2027.
Kenanga highlighted that the Cambodian facility is expected to enhance production efficiency and position Farm Fresh to seize opportunities arising from ongoing disruptions linked to the Thailand‑Cambodia border dispute, while supporting longer‑term expansion across Indochina. Cambodia currently contributes about RM4–5 million in monthly revenue to the group.
Taken together, Farm Fresh’s herd expansions in Pahang, the commissioning of new facilities in Cambodia and Enstek, and its strategic push into neighbouring markets reflect a company steadily building scale and resilience. By aligning operational growth with regional opportunities, Farm Fresh is positioning itself not only as Malaysia’s leading dairy producer but also as a rising force across Southeast Asia—ready to meet evolving consumer demand with efficiency, innovation, and sustainability at its core.
