DESIGN work for Perth to Breadalbane highway duplication is almost complete.
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A State Growth Department spokeswoman said early planning was also under way for two "link roads" around Perth.
The link roads will connect the Midland Highway south of the town to Illawarra Main Road and from the main road to the Perth-to-Breadalbane highway duplicate.
The spokeswoman said provision for a cycleway on the new highway duplication was being considered by the department.
"[The cycleway is] recognising the government's strong policy focus on cyclist safety," she said.
"This section of the Midland Highway is important for cyclists to access popular riding routes in the Northern Midlands."
Public consultation for the duplication is expected to begin in the coming months.
"A development application will be submitted for the project to the Northern Midlands Council after initial public consultation," the spokeswoman said.
"It is expected that construction will start later this year."
Northern Midlands Mayor David Downie said the Perth bypass would be done in three parts.
"Some businesses, as they realise it's going to happen, wouldn't be happy about it, but at the end of the day, businesses will benefit," Cr Downie said.
"There are opportunities to grow Perth around the boundaries that are going to be created by the roads."
He said the project was expected to approach completion by 2019 or 2020.
"The first stage of this road will make Launceston more accessible to people in Perth, that will make it a more attractive for development," Cr Downie said.