Johor, Malaysia: Malaysia’s ambitious Jemaluang Dairy Valley (JDV) project is steadily advancing towards its goal of strengthening domestic milk production, with the integrated dairy farm targeting 5.5 million litres of fresh milk by the end of 2026 as the country seeks to reduce its dependence on imported dairy products.

According to JDV Sdn Bhd, the project has already produced 3 million litres of fresh milk as of July 26, 2026, moving close to its initial annual target of 3.6 million litres.
The dairy valley is a joint initiative involving the Johor State Government, the East Coast Economic Region Development Council (ECERDC), and JDV Sdn Bhd, with an initial investment of approximately RM80 million.
Herd Expansion Driving Production
JDV Chief Executive Officer Qasem Alhasan said the dairy valley currently houses approximately 1,900 dairy cows, with milk output increasing as more animals enter their lactation cycle.
“Milk production is expected to increase further to 5.5 million litres by the end of 2026,” he said.
Looking further ahead, the company has set an ambitious long-term target of producing 12 million litres of fresh milk annually once the farm reaches full operational capacity.
Processing Plant Nearing Completion
A major milestone for the project is the construction of a dedicated milk processing facility, which is progressing according to schedule and is expected to be completed by the end of 2026.
The processing plant will enable JDV to expand beyond fresh milk into value-added dairy products.
Before launching its product portfolio in 2027, the company plans to focus on:
- Product quality assurance.
- Brand development.
- Distribution network expansion.
- Consumer market positioning.
The upcoming product range is expected to target households, children, young professionals, cafés, restaurants, hotels, and food manufacturers.
Reducing Import Dependence
Malaysia continues to rely heavily on imported dairy products, making domestic milk production a national priority.
“Our main goal is to make premium fresh Malaysian milk more accessible while reducing the country’s reliance on imported dairy products,” Alhasan said.
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The project aligns with Malaysia’s broader food security strategy by increasing local milk production and strengthening the domestic dairy value chain.
Investment to Exceed RM200 Million
While the initial investment stood at around RM80 million, JDV expects the project’s total investment to exceed RM200 million upon completion.
The investment will cover:
- Dairy farm infrastructure.
- Purchase of high-yield dairy cattle.
- Modern breeding technologies.
- Milk processing facilities.
- Utilities and supporting infrastructure.
The scale of investment reflects the company’s long-term commitment to developing Malaysia’s dairy industry.
Rural Economic Impact
Beyond milk production, the project is generating significant economic benefits for the surrounding region.
According to JDV:
- RM25 million has already been invested in local infrastructure development.
- More than 60 jobs have been created for nearby communities.
- Local contractors, suppliers, logistics companies, veterinary service providers, and traders are benefiting from the project’s expansion.
The company noted that a large proportion of construction materials have been sourced from suppliers in Mersing and neighbouring districts, helping stimulate the regional economy.
Challenges Ahead
Despite the encouraging progress, Alhasan acknowledged that dairy farming remains a capital-intensive business requiring sustained long-term investment.
Key challenges include:
- Rising livestock feed costs.
- Recruiting and retaining skilled local workers.
- Managing large-scale dairy operations.
- Meeting growing consumer demand for high-quality fresh milk.
Vision for 2027 and Beyond
JDV plans to double its herd size to approximately 4,000 dairy cows by 2027, while expanding into downstream dairy processing and introducing a broader range of dairy products.
The company also intends to explore export opportunities as production scales up.
Over the next three to five years, Jemaluang Dairy Valley aims to establish itself as one of Malaysia’s leading integrated dairy companies, contributing to national food security, reducing import dependence, and creating sustainable economic opportunities for local communities.
The project represents one of Malaysia’s most significant investments in modern dairy farming and reflects the country’s growing focus on building a self-reliant and globally competitive dairy industry.
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