SUPERMARKET group Asda is building a £30m import centre at Teesport that will create up to 450 jobs.

The deal will "significantly" strengthen Teesport's case for a £300m expansion.

The port near Middlesbrough - part of PD Ports plc - has been lobbying for a halt to expansion at southern ports, allowing it to expand instead, taking thousands of lorry miles off the UK's roads and creating 7,000 jobs in the region.

Asda announced it had signed a deal with PD Teesport to develop the centre. About 70 per cent of its distribution will come to the Tees direct from the Far East, with only 30 per cent delivered to southern ports.

The first phase of the project, due to be complete by February, will bring 300 jobs, with a further 150 to come later. Asda said the presence of such a large warehouse in the North of England would save the company two million miles on UK roads a year.

The company, part of the US Wal-Mart empire, said the deep sea container facility would also help ease congestion in southern ports such as Felixstowe and Southampton.

Martyn Pellew, of PD Ports, said: "This will significantly strengthen our case, that the world's largest supermarket chain backs the argument to use a Northern port."

David Robinson, managing director of PD Teesport, said: "We are clearly delighted to have secured the world's largest retailer as a major new customer. The presence of Asda will help us attract further deep sea container shipping lines to deliver via Teesport.''

The Northern Echo is backing PD Ports' arguments for expansion through the Support our Port campaign.