A "state-of-the-art" manufacturing facility for corrugated cardboard packaging will be constructed in north-east Victoria, with more than 400 jobs expected once the site is operational.

Packaging company Opal Group announced on Wednesday that it would invest more than $140m into the project, to be based at a 47,000 square metre site at the Logic Wodonga industrial estate at Barnawartha.

The company's Executive General Manager, Chris Daly, said the facility would supply packaging for the fast-moving consumer goods, fresh produce and fruit processing markets.

He said the project was expected to support up to 195 jobs through construction.

100,000 tonnes of packaging

Mr Daly said the project would get underway soon.

Mr Daly said the facility would produce about 100,000 tonnes of packaging materials to be distributed to surrounding regions in the area.

He said it would also include solar power and water harvesting capabilities, and that it would use paper from several craft and recycled mills the company already operated.

'We're open for business'

Wodonga Mayor Kevin Poulton said council was excited about the project, and that the benefits would extend beyond the creation of local jobs.

"Not just at the national level but international level as well."

Mr Poulton said he was eager to see how the project developed over the next 12 to 18 months. 

"This is a great display that we are open for business and people are welcome to come and set up here," he said.