Timber company James Jones and Sons is commissioning its new saw mill at the Lockerbie base.
Once it is fully operational, the plant will produce around 240,000 cubic metres of sawn timber a year, with timber mainly destined for big construction centres such as Birmingham, Manchester and London.
The new sawmill takes the total site investment in Lockerbie by the firm to about £35m.
Eddie Balfour, James Jones general manager said the company expanded the operations because it had a good base of skilled labour in the area and a forestry resource in the south of Scotland.
“We wouldn’t have spent this money if we did not think there were 20 years of timber supplies in front of us,” he said.
“It’s the fruition of a long-term plan which started when we purchased the site more than 10 years ago.”