Footwear producer Yepp Brasil is investing 4.0 million Brazilian reais in a new plant to make rubber sandals and flip-flops.

The Sao Paulo-based company's new facility will be in the municipality of Feira de Santana, in the north eastern state of Bahia.

It will initially have the capacity to produce 3,000 pairs of rubber sandals per day, and by the end of 2005 is expected to reach an output of 7,000 pairs per day. It will employ at least 600 people.

Part of the plant will also include a complex to process rubber.

Yepp Brasil produced 1.2 million pairs of sandals in 2004, its first year of operation.