HalalIndustry Insights

SPC Group, Paris Baguette Owner, to Complete Its First Global Halal-Certified Factory in Johor by Next Month

The bakery factory will produce halal bakery products for Southeast Asian countries as well as for the Middle East, where it plans to expand in the future.

Earlier this month, South Korean bakery giant SPC Group, the parent company of Paris Baguette, announced that its first halal-certified manufacturing facility in Johor, Malaysia, is set to be completed by the end of next month (2024).

In October, SPC Group President Jin-soo Huh met with Johor Governor Onn Hafiz Ghazi and his delegation to discuss plans for the upcoming Halal bakery factory in Johor Bahru, Malaysia. SPC Group and the state of Johor have agreed to collaborate on several key initiatives, including the establishment and operation of the Halal factory, sourcing local materials, and creating job opportunities in Malaysia.

The factory, a key part of the company’s expansion strategy to support its flagship brand Paris Baguette, in Southeast Asia and the Middle East, will serve as a regional production hub for halal bakery products.

SPC Group President Hur Jin-soo shared during SPC’s press release, “This soon-to-be-completed halal factory is Chairman Hur Young-in’s long-cherished project to strengthen our presence in the Southeast Asian and Middle Eastern markets. We will work closely with the Johor State to successfully complete its construction and continue to seek ways to develop together with them.”

Building the factory in Johor was strategic because the area offers competitive business conditions, is close to major transport centers in Singapore, and has skilled workers. This factory is also an important part of SPC Group’s plan to grow in the region, helping the company improve its supply chain and production in Southeast Asia.

About RM130 million (US$29.5 million) investment in the 12,900 m² facility highlights SPC Group’s commitment to meeting the increasing demand for halal-certified baked goods. The facility will be capable of producing up to 11 tonnes (11,000 kilograms) of dough per day across seven fully automated production lines, which will streamline operations for Paris Baguette’s Southeast Asian outlets.

Once in operation, halal-conscious consumers, which include Muslims and non-Muslims in Malaysia, will benefit from high-quality halal-certified French-inspired bakery products from Paris Baguette. This will include halal breads, pastries, cakes, and frozen dough. The bakery-café chain, which is known for its pastries like croissants and fruit bites, will help meet the growing demand for halal food in the region.

Driving Growth in Malaysia: Paris Baguette’s Expansion and Local Impact

In addition to serving regional markets, the factory is expected to generate over 100 job opportunities in the area, ranging from manufacturing roles to managerial positions. The Malaysian government has expressed support for this investment, emphasizing how it will contribute to the local economy and strengthen Johor’s position as a regional manufacturing hub.

Johor Governor Onn Hafiz Ghazi expressed his excitement: “We are thrilled to work with Paris Baguette, a globally recognized brand that has made its mark not just in Southeast Asia but worldwide.” He also emphasized, “We are committed to fully supporting SPC Group to ensure its successful operations in Malaysia.”

Alongside its manufacturing investment, Paris Baguette is expanding its retail presence in Malaysia. The bakery currently operates ten stores, with two recently opened outlets and another two new locations opening this November.

The recently two outlets were launched at IOI Mall Puchong and Pavilion Damansara Heights, with upcoming openings at Mid Valley and Sunway Pyramid.

With its first halal-certified bakery factory nearing completion, Paris Baguette is ready to serve the growing demand for halal foods, ensuring high quality and adherence to halal standards for its halal-conscious customers.

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