FME can read and write any arbitrary text file, one line at a time.
Although you can use this reader and writer in a generic translation, this usually will not produce a useful result by itself. Instead, this format is typically used as part of a customized format or custom workspace.
In such a case, the lines read are parsed using FME transformers into data elements which are further transformed or combined before output is produced. The reader can directly read from gzip file with .txt.gz extension and the writer can write a compressed gzip file if the extension of the output file is .gz.
Reader Overview
The Text File reader module produces an FME feature for each line of text in the text file except when the Read Whole File at Once parameter is specified. In this case, only a single feature containing the text_line_data attribute is produced per input file.
Writer Overview
The Text File writer writes one text line per feature.