Ballance Agri-Nutrients plans to make a major investment in Northland over the next four years to improve its service to the region.
The four-stage upgrade will include the demolition of its Port Rd plant in Whangārei, the sale of another property and the opening of two new centres, in Whangārei and at Marsden Point.
Demolition in Port Rd is about to begin, and will be completed within six to eight months, followed by a second stage of demolition once the company has secured its new site in Whangārei, and site remediation.
Mark Adams, Ballance's Northland project lead, said the demolition would be complex, with a strong focus on the environmentally-sound disposal of deteriorating building materials, including asbestos.
"Our Port Rd plant is an aging and deteriorating building, and a familiar landmark to many in the Whangārei community," he said. "Our focus is on completing the demolition safely and efficiently, while investing in new plant and equipment that will support our Northland farmers and growers."
The company had appointed local contractors Waldron Construction to oversee the demolition.
The company expected to announce details about its new site at Marsden Point within a few weeks. It would ease buildings from a developer.
It hoped to secure its new Whangārei site by May.
Mr Adams said demand for Ballance's product was seasonal, peaking in autumn and spring, and the company was managing the project carefully to ensure there was no disruption to supply, particularly over peak periods.
The new two-site strategy would boost customer service and accessibility, as well as product quality and reliability of supply.
It would use its yet-to-be-built Whangārei site for product bagging and distribution to customers with good access to Whangārei. Marsden Point would be the central distribution hub for the region, a bulk storage and transitional facility for product arriving from Northport, and a customer service centre.