The spokesperson said excessive heat “can be generated by large stockpiles of organic matter, similar to a compost heap”.
The council said in a social media post today the odour was caused by “smouldering tapioca” in a storage shed.
“The company is making every effort to cool it down and stop the smell but we understand it’s still really smelly.”
The council said it had issued an abatement notice to the company responsible and would keep monitoring the situation.
A council spokesperson said the abatement notice was still within a 15-working-day appeal period.
Locals rang the council’s pollution hotline and took to social media over the weekend to complain about the smell.
“It’s been like it all day. This morning I thought my garage ceiling was on fire,” said one.
A Fire and Emergency New Zealand spokeswoman said crews were called to a premises in Mount Maunganui at 4.17am on Saturday.
“Crews investigated and left the scene in the hands of the building owner.”