[Press Release] Federal Oats Mills Embarks on a New Era of Oats Production with State-of-The-Art Plant

By InvestPenang – Sept 21, 2023

A version of this article was first published on InvestPenang

Federal Oats Mills Sdn. Bhd. (FOM), a pioneering leader in the oats industry, is proud to announce a significant milestone as it inaugurates its cutting-edge oat processing plant. With a rich history dating back to its incorporation in 1965, FOM has continuously evolved and innovated, establishing itself as Southeast Asia’s first oat mill and now standing as the 13th largest exporter of oat products worldwide.

The cornerstone of FOM’s recent success lies in its strategic investments in advanced technologies. The plant has a total floor area of over 260,000 square feet and specialises in producing a diverse range of oat products including oat flakes, kilned dried hulled oats, oat bran, and oat flour. Over the past 15 years, FOM’s commitment to growth and innovation has led to a sevenfold increase in its milling capacity, backed by an investment of over RM135 million. Today, FOM operates at a milling capacity of 10 metric tons per hour, a testament to its dedication to meeting the rising global demand for high-quality oats.

YB Mr H’ng Mooi Lye, Penang State EXCO for Local Government and Town & Country Planning (representing Penang Chief Minister, Right Honourable Mr Chow Kon Yeow) stated, “FOM’s expansion is a testament to Penang’s sustainable investment location. Penang’s conducive environment not only allows industry players to participate and thrive but, also able to witness true commitments made to well-being of the state. I am optimistic for FOM facility’s capabilities to achieve greater heights for the years to come.”

Datuk Wira Arham Abdul Rahman, Chief Executive Officer of the Malaysian Investment Development Authority (MIDA) congratulates FOM on the realisation of its new modern oats processing facility, “The presence of this modern and fully automated facility aligns with the New Industrial Master Plan (NIMP 2030), which aims to encourage industries to shift away from labour intensive business models.”

“As one of the food processing leaders in Malaysia, FOM’s commitment to advancing its technology and production capacity also benefits the local vendors within its supply chain, creating positive social spillovers and improving local economies. In addition, its long-established Halal-certified oats products have opened up numerous opportunities within the global Muslim market, highly recognising Malaysia’s Halal certification. The increased capacity also aligns with the National Food Security Policy Action Plan, which aims to expand the accessibility and affordability of food, especially healthy food products. Malaysia is proud to be an international Halal production hub, as industry participants increasingly elevate into advanced food processing technologies for high standard of hygiene and food safety practices. We are looking forward to see FOM realising its “Captain Innovation Hub” in Malaysia and would be glad to facilitate necessary support.” he added.

Mr. Michael Chew Kian Hong, Deputy Managing Director of Federal Oats Mills Sdn. Bhd. reiterated “FOM will reinforce our capacity and product line strength, providing substantial room for growth and expansion to meet market needs. FOM has already, in the last three years, proven our strength in meeting the increasing demand of oatmeal and oat-based products in the region. I would like to emphasise that our company will continue to be deeply rooted in Penang as Penang has given us so much.”

“With 58 years of oat milling experience under our belt, we deeply commit to meeting demand and supply obligations, apart from corporate family commitments. We continue to be unyielding in pushing the limits of our own production, sales and marketing and human resource efficiencies. This commitment to innovation will continue to be the differentiating factor between us and the competition. At the same time, we want to do our part in helping to sustain our earth’s resources better for our future generations.” he added.

FOM’s commitment to automation and cutting-edge technology has allowed it to maintain impeccable control over the entire oat milling process, ensuring consistency and quality in every product it delivers to the market. This commitment to quality has been validated by its certifications from global food authorities, including FSSC 22000, ISO 22000 and HACCP, as well as Halal and non-GMO certifications.

From its inception, FOM demonstrated a commitment to excellence, quickly gaining recognition for its dedication to quality and innovation. In 1970, shortly after its establishment, FOM introduced the iconic Captain brand, which rapidly gained traction in the Middle East, as well as Southeast Asia market. This pivotal success paved the way for FOM to gradually expand its global export footprint, making Captain oats a household name in over 30 countries across the globe.

Looking ahead, FOM has ambitious plans for growth. Leveraging its new cutting-edge facility, FOM is looking to extend its reach into the rapidly growing plant-based beverage and meat industries. FOM is also excited to unveil its visionary Captain Innovation Hub, which is slated for completion by 2028. This hub aligns seamlessly with the pursuit of healthier lifestyles, aiming to introduce a range of innovative oat products to the younger generation.

As FOM embarks on this transformative phase, it remains steadfast in its commitment to innovation, excellence, and customer satisfaction. The journey from its establishment in 1965 to its current status as a global oats industry frontrunner encapsulates its unwavering dedication and its relentless pursuit of excellence.