The drying performance of industrial inclined bed dryer (IBD) and the milling quality of dried paddy was evaluated and compared in two main granary areas of Muda Agricultural Development Authority (MADA) and Integrated Agricultural Development Areas (IADA KETARA). A mix of MARDI’s paddy variety (MR 220 CL2 and MR 219) was used and the study on both granary area of MADA and IADA KETARA were carried out in local paddy mills located at Yan, Kedah and Besut, Terengganu respectively. The results indicated that the average drying rate in MADA was 119.93 kg water removed/hr whereas only 73.67 kg water removed/hr was recorded in IADA KETARA. Therefore, normalized water removal value of paddy mill in MADA was found higher than paddy mill in IADA KETARA. In terms of milling quality, average percentage of head rice yield of paddy mill in MADA and IADA KETARA was 76.89% and 73.87% respectively. The milling quality analysis of rice resulted from ANOVA found that there was no significant difference in the HRY and total broken between IBDs in both locations.