Ports of Auckland has begun construction work on its Waikato Freight Hub, an inland port at Horotiu, north of Hamilton.

According to Ports of Auckland, a contract has been awarded to Fulton Hogan to undertake earthworks to level the site. Work will continue for the next few months and construction of a bridge which connects to the existing road network will begin in early 2017.

The Waikato hub, which is expected to launch operations by late 2017 or early 2018, has rail and road connections to New Zealand’s two largest ports, lower North Island and three of the country’s five biggest cities. It will also have rail connections to Ports of Auckland’s existing freight hubs at Wiri, South Auckland, Mount Maunganui and Longburn, Manawatu.

Ports of Auckland and Napier Port are partnering to develop a network of freight hubs across North Island.

The Waikato hub is expected to generate approximately 300 jobs directly and act as an economic catalyst to facilitate thousands more, according to Ports of Auckland.