THE first steps towards the city's new Intermodel Hub have been taken in the form of a new roundabout.
Construction of the new two-lane roundabout on the Oxley Highway and Country Road is set to begin on Monday and will signal the start of the Intermodel Hub project.
The $9.534 million roundabout was funded by all three levels of government and is expected to take 12 months to complete.
New England MP Barnaby Joyce said the new infrastructure would open up new economic opportunities for Tamworth.
"This is going to help build the Tamworth Global Gateway Park to bring more jobs into Tamworth as well as be a roundabout we ultimately need for Tamworth," Mr Joyce said.
"We are building to a plan, this plan builds towards jobs and the future of a city.
"We're building now so we don't have to insert things later and we are building now so this city grows quicker."
Tamworth mayor Col Murray said the works were "the start of a very large precinct project".
"This project will probably run in excess of 10 years and without that assistance of the different levels of government, we would not be able to provide this land in advance of the growth we are expecting to come to Tamworth," Cr Murray said.
"We really need to get this project unlocked and this is one of those critical enabling projects.
"From Monday morning, you will see many people working out here."
The beginning of the works come as a new roundabout for Hillvue Road and Garden Street nears completion.
The $610,000 upgrade to the notoriously dangerous intersection is expected to be complete in the coming weeks and Tamworth MP Kevin Anderson said it would reduce the number of accidents in the area.
"Over 7,000 vehicles pass through this intersection daily and in the last seven years, there have been nine vehicle accidents, seven of which resulted in injuries to drivers or their passengers," Mr Anderson said.
"The works involve the installation of a roundabout, upgrading and realigning the road surface as well as underwater storm drainage to avoid nearby flooding."
Mr Anderson said both upgrades were essential to help support Tamworth's growing population.
"As region's grow, quite often the infrastructure hasn't grown with it," he said.
"It's important to complete these works to ensure we stay in touch with that growth."