A joint venture to build the country's largest film studio in west Auckland was announced yesterday.

The Waitakere City Council and developer Tony Tay Group are to build a $7 million film and sound studio.

The council says the 2000sqm studio will be the largest in New Zealand.

New Zealand Film Commission chief executive Ruth Harley said the studio increased the capacity of the local industry.

"The increased studio space is good news for the film industry and producers in the Auckland region," Dr Harley said.

"The wider New Zealand industry will also benefit from this addition to the available range of production options."