PNG Govt says it's committed to Madang Industrial zone

7:35 pm on 21 May 2015

The Papua New Guinea government says it is fully committed to developing the Pacific Marine Industrial Zone project in Madang Province.

The project aims to includes up to ten fish canneries and other industrial facilities around a port complex on the Madang Lagoon.

In a media release it says the project has been delayed for several years by issues over land ownership and financing.

Prime Minister Peter O'Neill says the land being used is state land, not customary land as some have claimed, and the project currently before the cabinet for consideration.

Local communities have voiced significant opposition to the project, fearing that local coastal fishing will be devastated by the industrial project.

But Mr O'Neill says the government is satisfied the project will not cause pollution to the environment.

He says the project will generate economic activity of 700-million US dollars every year, provide more than 20,000 direct or indirect jobs.