Farm Fresh, Alpha Group launch RM288 million dairy project in Cambodia

PETALING JAYA – Farm Fresh Berhad and Cambodia's Alpha Group have signed a land lease agreement with the Pursat Provincial Administration and Sonavith Co., Ltd. for a dairy farming investment project known as Farm Fresh Pursat.

Based in Veal Veng district, Pursat province, the project will cover about 1,000 hectares with an investment of US$68 million (RM288 million).

It will focus on setting up an international-standard dairy farm and building a local milk processing plant to strengthen Cambodia's dairy production chain, reduce imports and raise the country's capacity to supply the domestic market as well as future export markets.

Farm Fresh managing director and chief executive officer Loi Tuan Ee said the company was proud to invest in Pursat province and welcomed the incentives and support extended by the government.

He said the facility — described as Cambodia's first large-scale fresh milk production and processing operation — is expected to help close the domestic fresh milk gap and support rising local demand, while raising the province's profile.

"This US$68 million dairy farming project aims to boost Cambodia's domestic supply of high-quality fresh milk and meet growing consumer demand, in line with the agreement at the end of October to establish the country's first large-scale fresh milk production and processing facility," he said in a statement.

"As a leading dairy company in Southeast Asia, our investment in Pursat will help lift the profile of this province across Southeast Asia and on the global stage."

On Oct 26, 2025, during the 47th ASEAN Summit and Related Summits, Farm Fresh signed a memorandum of understanding with Alpha Group Cambodia to establish the country's first large-scale fresh milk production and processing facility.

Pursat Governor Khoy Rida said the major investment in Pursat would create many job opportunities for local residents and marked a historic milestone for the province and the country.

A border conflict with Thailand had earlier triggered a milk supply crisis, as Thailand traditionally supplied more than 76 per cent of Cambodia's dairy imports.

In July 2025, supermarket shelves were emptied while coffee shops and restaurants struggled to obtain fresh milk. The shortage accelerated plans to expand domestic fresh milk production. – KOSMO! ONLINE