The site will get nearly 17,000 square metres of new warehouse space and a new laboratory, after receiving approval from Narrabri Shire Council and the JRPP.

CSD chairman James Kahl said while the existing processing plant was able to meet the current needs of the industry, the company was looking to the future.

“We need to be able to support the Australian cotton industry for at least the next 30 years,” Mr Kahl said.

Upper Namoi Cotton Growers’ president Nat Grove said the cotton industry had always been a "forward thinking" industry.

"A decision like this shows the money there is within the industry," Mr Graves said.

"That much development will probably see a rise in employment during the construction and possible more heads to run it in the busy time.

“To have a world class lab set up in our backyard, and within middle of the cotton growing area, is going to be a real boon. 

The benefits in breeding improvements is going to be a positive for the whole industry.”

On top of the $41m investment for the infrastructure, CSD will invest a great deal more to install equipment in the new facilities over the next 18 months.

Construct will start next January, with the plant to be operational for the 2018 processing season.