KUALA LUMPUR (Jan 21): Evyap Holdings AS (Evyap Group), one of the largest privately owned soap manufacturers in the world, plans to shift its production of bar soaps from Turkey to Malaysia by the end of this year.

The group, which has a wholly owned subsidiary in Malaysia called Evyap Sabun Malaysia Sdn Bhd, has established a production facility in Tanjung Langat, Johor, at the end of 2014.

Evyap Sabun Malaysia vice chairman Martin Rudolph said the group's plans to shift production from Turkey to Malaysia was due to cost effectiveness.

"We have different suppliers in Malaysia and Indonesia," he told a press conference today.

"The cost savings would be significant," he added, declining to reveal the numbers.

Evyap Group had decided to shift the feedstock of its soaps from tallow to palm oil in 2010.

The group produced 136,660 tonnes of bar soaps alone for its captive consumption in 2014. The Malaysian plant has a production capacity of 150,000 tonnes of bar soap per year, said Rudoph.

Overall, the local plant has the capacity to produce bar soaps and other oleochemicals totalling 350,000 tonnes per year.

So far, Evyap Group has invested US$200 million in the plant, 60% of which is currently in operation.

"We have another 40% of idle land (within the existing plant) that we can expand our production," he added.