A New Zealand manufacturer has won part of a $40 million contract to supply plasterboard systems for the Christchurch residential rebuilding programme.
Winstone Wallboards and Knauf Plasterboard, an offshore company, won the contracts.
The Government said the arrival of Knauf in New Zealand will save it up to 6% in plasterboard costs and will provide increased competition.
Winstone general manager David Thomas said the company expanded its operation at a cost of about $1.6 million to ensure there was enough capacity to meet builders' demands.
If that demand increases, he said the company can also supply from Auckland.
Mr Thomas said the two companies beat seven other bids in a tender process.