A $60 million expansion of a tissue paper plant in Kawerau is expected to double its output.
The expansion at the SCA Hygiene Australasia site in Bay of Plenty includes a 55-metre-long Italian made tissue winding machine and robotised packing and dispatch.
New Zealand general manager of operations Mark Kennedy says operations from Hamilton have been consolidated into the Kawerau site.
Mr Kennedy says Kawerau was an obvious place for the expanded plant because of tissue and paper making equipment there and the proximity of resources.
While jobs have been lost at the company on a whole, there has been in increase in jobs at the Kawerau site, he says.
Kawerau District Council's deputy mayor Alistair Holmes says the change is wonderful for the community.
Prime Minister John Key officially opened factory on Thursday.