Leading Agri-Commodity Company and Dairy Industry Giant Join Forces to Invest in Eco-Friendly Protein Production in Johor Bahru

JOHOR BAHRU, Malaysia, Nov 5 (Bernama) -- A new chapter in sustainable food manufacturing has begun with the groundbreaking ceremony for a state-of-the-art facility in Tanjung Langsat, Johor, held yesterday, dedicated to producing plant-based protein from environmentally-friendly pulses. This project, a joint venture between Agrocorp International and Megmilk Snow Brand, marks the formation of Agro Snow, a partnership poised to revolutionise the plant-based food sector with innovative, sustainable production methods. By harnessing the power of pulses, such as lentils, chickpeas, and beans, the facility will produce high-quality plant-based protein with a significantly lower carbon footprint and water usage compared to traditional protein sources.

Renowned for their low environmental impact and high nutritional value, pulses will be the primary ingredient driving the environmental benefits of this facility’s production. Once operational, the factory is expected to become a major source of affordable, sustainable protein for food manufacturers across Asia, fuelling the growth of the plant-based food industry and supporting the region’s transition to more sustainable dietary choices.

YAB Dato’ Onn Hafiz Ghazi, the Menteri Besar Johor expressed the State’s appreciation, “We are delighted to welcome this new investment in Johor, which underscores our commitment to fostering sustainable economic growth in the region,” said Y.A.B. Dato' Onn Hafiz Ghazi, Chief Minister of Johor, “The Johor-Singapore Special Economic Zone offers a unique advantage for businesses, providing seamless cross-border collaboration and access to resources. This project not only strengthens our economic ties with Singapore but also enhances Johor's position as a hub for sustainable food manufacturing in Asia.”

Datuk Sikh Shamsul Ibrahim Sikh Abdul Majid, CEO of the Malaysian Investment Development Authority (MIDA), emphasised the project's alignment with national objectives, “This groundbreaking venture exemplifies the high-impact, future-forward investments MIDA seeks to attract to Malaysia. The Agro Snow facility aligns with our New Industrial Master Plan (NIMP) 2030, advancing Malaysia's position in the alternative protein segment while strengthening our reputation as a premium food ingredients hub. The facility’s focus on functional food, health-conscious trends, and halal certification opens new global opportunities, while its advanced technology and sustainable processes align with our goals for safer, efficient, and eco-friendly production. This investment represents exactly what we envisioned: a perfect blend of advanced technology, environmental responsibility, and economic growth.”

The plant is expected to be completed by the first quarter of 2026 with a production capacity of 6,000 metric tonnes of pulse protein isolates a year and will employ approximately 80 people from the local community, contributing to economic growth and job creation. This joint venture sets a strong example of how collaboration and innovation can drive positive change, paving the way for a more sustainable food system.

“We are thrilled to break ground on this project, which represents a significant step for Agrocorp as our aim is to be at the forefront of nourishing a changing world,” said Vishal Vijay, CEO, Agrocorp International. He added, “We are grateful to Megmilk for giving us their trust and partnering on this venture. It is our hope that the pedigree of our two companies, as well as the competitive advantage we gain from being in Johor, will allow Agro Snow to become a leading supplier of plant-based ingredients to the region.”

Takashi Mori, managing executive officer, Megmilk Snow Brand, added, "With growing global demand for diverse, sustainable food sources, plant-based ingredients are emerging as a key solution. Leveraging our expertise and quality control from the dairy industry in Japan, we aim to revitalise the global plant-based food market and continue offering new, sustainable options through the production and sales from this project."

According to MarketsandMarkets Research Pvt. Ltd. (June 2024), the global plant-based protein market is projected to reach USD20.5 billion by 2029, fuelled by shifting consumer preferences towards healthier, more sustainable dietary choices. This market encompasses a diverse array of products derived from plants, including soy, pea, wheat, and rice, offering alternatives to traditional animal-based proteins. With the rise of vegetarian, vegan and flexitarian lifestyles, demand for plant-based protein products has surged across various food categories, ranging from meat substitutes to dairy alternatives and beyond.

About MIDA

MIDA is the government’s principal promotion agency under the Ministry of Investment, Trade and Industry (MITI) to oversee and drive investments into the manufacturing and services sectors in Malaysia. Headquartered in Kuala Lumpur Sentral, MIDA has 12 regional and 21 overseas offices. MIDA continues to be the strategic partner to businesses in seizing the opportunities arising from the technology revolution of this era. For more information, please visit www.mida.gov.my and follow us on X, Instagram, Facebook, LinkedIn, TikTok and YouTube channel.

About Agrocorp International

Agrocorp is a global agri-commodity firm specialising in the sale and processing of staple food products such as wheat, pulses and rice to leading food manufacturers in the Asia Pacific and Middle Eastern regions. Headquartered in Singapore, Agrocorp started trading agri-commodities in 1990 and has since grown to achieve over USD3 billion in turnover, handling more than 30 agri-commodity products across 50 countries. Agrocorp is also one of the leading traders of pulses in the world and operates plants in Australia, Canada and the US that process pulses into value-added products like protein and starches. In 2023, the company announced a joint-venture with one of Japan’s largest dairy companies, to operate a pulses protein extraction facility in Johor Bahru, Malaysia, to serve the plant protein needs in the region by 2026. In addition, the company has also launched its downstream plant-based food brand, HerbYvore, all part of its vision to better nourish a changing world through responsible and sustainable sourcing and food production. Agrocorp is the recipient of the 2022 EY Family Business Excellence Award. For more information, please visit: www.agrocorp.com.sg or follow along on LinkedIn and Facebook.

About Megmilk Snow Brand

One of MegmilkSnow Brand’s predecessors was the Hokkaido Cooperative Creamery Association. Inheriting the pioneering spirit of those who strove to create a new foundation for dairy farming through the strength of cooperation, we have been involved in Japan’s dairy farming industry for over 90 years. In 2011, Snow Brand Milk Products Co., Ltd. and Nippon Milk Community Co., Ltd. merged to develop our business centered on milk and dairy products. Since the founding of Snow Brand Milk Products, our main products aredairy products such as butter and cheese, which boast the top market share. In recent years, yogurt and functional foods have also become pillars of growth. In research and development, we conduct research on milk and lactic acid bacteria that can contribute to the maintenance and improvement of consumer health. We aim to resolve social issues through the business of dairy farming, preserve a healthy and rich environment, and grow our business sustainably.

About Agro Snow

Agro Snow is a joint venture between Agrocorp International and Megmilk Snow Brand, two industry leaders committed to sustainability and innovation. This joint venture seeks to leverage the strengths of both companies and will see the setting up of a factory in Malaysia to manufacture soy-free plant protein extracted from climate-friendly pulses that can be used in a variety of plant-based food applications in plant-based beverages. The factory, located at Tanjung Langsat, Johor Bahru, is expected to be operational in early 2026, with a production capacity of 6000 metric tonnes of pulse protein isolates a year.

Associated image(s) can be downloaded via this link: 
https://drive.google.com/drive/folders/17LpY2d8IGgrZu7HrOrWBKEhZ8vRZRH1t

Source: Malaysian Investment Development Authority (MIDA)

FOR MORE INFORMATION, PLEASE CONTACT: 
MIDA
Name: Ms. Manjit Kaur Balkar Singh
Director, Food Technology & Resource Based Industries Division
Tel: +603-22673509
Email: manjit@mida.gov.my

Agrocorp International
Name: Lena Tan
Head of Corporate Communications
Tel: +65 9665 1690
Email: lena@agrocorp.com.sg

--BERNAMA