Sheep sales on the site are expected to start in eight weeks
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Building work on a new livestock market has started on the outskirts of Aberystwyth.
Its owners expect to hold sheep and machinery sales in an area known as Lovesgrove in about eight weeks.
The original market closed in 2005 to make way for a £15m shopping centre, which opened last year.
For the past two years farmers have been forced to travel to markets in Welshpool, Powys, or Newcastle Emlyn, in Carmarthenshire to sell their stock.
Aled Ellis, the owner of the company behind the new 7.7 acre development, said the first phase of the building work should be finished in about six weeks.
"We hope to start sheep sales and machinery sales in two months' time," said Mr Ellis.
Originally it was planned to build a market costing £1.3m at Lovesgrove, two miles east of the Ceredigion seaside town, but Mr Ellis said plans had been scaled down.
He added that further investment in the new market depended on "market trends".
It is expected to serve farmers in mid, south west and parts of north west Wales.