Earthworks start at Mataura Valley Dairy factory at McNab

Earthworks have begun at the Mataura Valley Milk dairy factory site at McNab.

Mataura Valley Milk director Aaron Moody, of Gore, said it was exciting to see some work under way on the 26.2ha site after several years of planning.

‘‘It’s really great to finally see some progress, it’s been a long time coming.’’

Three tenders had been received to build the $200 million plant, and were being assessed but he was unable to say whether they were from New Zealand or overseas.

He was also unable to say when the successful tenderers would be announced or when construction of the plant would begin.

The company aimed to be operational and receiving milk in August of the 2017-2018 season.

‘‘We have a very detailed plan of when we will be operational and everything is going to plan at the moment.

‘‘Good weather down south certainly helps that.’’

The plant will manufacture nutritional powders for infants, toddlers and adults, as well as ultra-high temperature cream and small amounts of skim and whole milk powder for international markets.

It is expected to employ 60 people and inject an estimated $90 million into the local economy.

The company is majority owned by China Animal Hus- bandry Group, a subsidiary of a Chinese state-owned enterprise.

New Zealand-owned company BODCO, which supplies milk powder-based products to global markets, has a 5.6 per cent shareholding.

The Gore District Council would supply 700m2 of water a day to the plant from a disused well in Oldham St, which would cost about $250,000 to upgrade.

Costs would come from water supply charges and all reticulation costs and the construction of a new industrial waste water plant on council land at south Gore would be met by Mataura Valley Milk.