More than 100 firefighters and 20 trucks are at the scene of a large fire that has broken out in a Bomaderry powdered milk factory.
Firefighters were called to the scene on Railway Street about 3.15pm but upon arrival found the building already engulfed in flames.
There are 110 firefighters from Fire and Rescue NSW and NSW Rural Fire Service battling the blaze, with the aerial ladder truck from Wollongong setting up on scene.
HAZMAT crews are also at the site, testing water run-off and working with the Environment Protection Authority.
The area is closed to traffic with a road block set up by police at the intersection of Cambewarra Road and Railway Street, Bomaderry.
A grass fire also broke out nearby and forced the closure of the rail line for a short time, but that fire has been brought under control and the line has reopened.
The fire has produced a thick plume of smoke, visible across the greater Nowra-Bomaderry area.
The fire is being controlled and it is expected that firefighters will remain on scene well into the night, but the blaze has been contained to the one building.
The factory measures about 50 metres by 30 metres and the roof has since caved in.
It is understood to be the Cottee Jersey factory, which manufactures powdered milk products, and it contains both powdered milk and storage materials.