diff --git a/.changeset/hip-pens-love.md b/.changeset/hip-pens-love.md
new file mode 100644
index 0000000000..d1549789bf
--- /dev/null
+++ b/.changeset/hip-pens-love.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-catalog-backend': patch
+---
+
+Take CatalogParser in account when processing file locations.
diff --git a/plugins/catalog-backend/api-report.md b/plugins/catalog-backend/api-report.md
index 6b7d966b28..a3860d2dca 100644
--- a/plugins/catalog-backend/api-report.md
+++ b/plugins/catalog-backend/api-report.md
@@ -966,6 +966,7 @@ export class FileReaderProcessor implements CatalogProcessor {
     location: LocationSpec,
     optional: boolean,
     emit: CatalogProcessorEmit,
+    parser: CatalogProcessorParser,
   ): Promise<boolean>;
 }
 
diff --git a/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.test.ts b/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.test.ts
index 8a5f202e5e..c2cce66bc6 100644
--- a/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.test.ts
+++ b/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.test.ts
@@ -21,6 +21,7 @@ import {
   CatalogProcessorResult,
 } from './types';
 import path from 'path';
+import { defaultEntityDataParser } from './util/parse';
 
 describe('FileReaderProcessor', () => {
   const fixturesRoot = path.join(__dirname, '__fixtures__/fileReaderProcessor');
@@ -33,7 +34,7 @@ describe('FileReaderProcessor', () => {
     };
 
     const generated = (await new Promise<CatalogProcessorResult>(emit =>
-      processor.readLocation(spec, false, emit),
+      processor.readLocation(spec, false, emit, defaultEntityDataParser),
     )) as CatalogProcessorEntityResult;
 
     expect(generated.type).toBe('entity');
@@ -49,7 +50,7 @@ describe('FileReaderProcessor', () => {
     };
 
     const generated = (await new Promise<CatalogProcessorResult>(emit =>
-      processor.readLocation(spec, false, emit),
+      processor.readLocation(spec, false, emit, defaultEntityDataParser),
     )) as CatalogProcessorErrorResult;
 
     expect(generated.type).toBe('error');
@@ -69,6 +70,7 @@ describe('FileReaderProcessor', () => {
       { type: 'file', target: `${path.join(fixturesRoot, '**', '*.yaml')}` },
       false,
       emit,
+      defaultEntityDataParser,
     );
 
     expect(emit).toBeCalledTimes(2);
diff --git a/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.ts b/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.ts
index 5f6e739bdd..9ff3f52ba0 100644
--- a/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.ts
+++ b/plugins/catalog-backend/src/ingestion/processors/FileReaderProcessor.ts
@@ -20,8 +20,11 @@ import g from 'glob';
 import path from 'path';
 import { promisify } from 'util';
 import * as result from './results';
-import { CatalogProcessor, CatalogProcessorEmit } from './types';
-import { parseEntityYaml } from './util/parse';
+import {
+  CatalogProcessor,
+  CatalogProcessorEmit,
+  CatalogProcessorParser,
+} from './types';
 
 const glob = promisify(g);
 
@@ -30,6 +33,7 @@ export class FileReaderProcessor implements CatalogProcessor {
     location: LocationSpec,
     optional: boolean,
     emit: CatalogProcessorEmit,
+    parser: CatalogProcessorParser,
   ): Promise<boolean> {
     if (location.type !== 'file') {
       return false;
@@ -44,9 +48,12 @@ export class FileReaderProcessor implements CatalogProcessor {
 
           // The normalize converts to native slashes; the glob library returns
           // forward slashes even on windows
-          for (const parseResult of parseEntityYaml(data, {
-            type: 'file',
-            target: path.normalize(fileMatch),
+          for await (const parseResult of parser({
+            data: data,
+            location: {
+              type: 'file',
+              target: path.normalize(fileMatch),
+            },
           })) {
             emit(parseResult);
           }