Advances in power transmission using spur gear technology in some specific mechanical devices required lightweight to strength ratio of the gear material. This study evaluated the mechanical properties of a particulate palm kernel shell reinforced polyester composite (PPKSRPC) for spur gear application. The PPKSRPC sample was prepared and examined experimentally to determine its mechanical properties such as tensile strength, modulus of elasticity and shear modulus. The experimental result for 5% weight fraction of PPKSRPC gave a tensile strength, modulus of elasticity and shear modulus of 90.3 MPa, 2.35 GPa and 0.89 GPa, respectively. The value obtained was used to model the PPKSRPC spur gear under a torque of 140 N-m in ANSYS environment.  The observed values of the responses (mechanical properties) of the PPKSRPC under loading conditions are lower compared to the conventional steel in spur gear application.