The Invercargill City Council has committed $50,000 towards the filming of a Goodbye Pork Pie remake in Invercargill and Lonely Girl on Stewart Island.

Invercargill City Council chief executive Richard King said a $250,000 funding package from Southland supporters was confirmed in the past week.

"Money is coming from SIT, because of their film program, [the] Community Trust of Southland, ILT, Invercargill City Council and Southland District Council."

Lonely Girl, to be shot on Stewart Island was a "human relations" film while Goodbye Pork Pie would be a remake of the New Zealand classic film, King said.

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Filming was planned for May with road closure plans in the process, King said.

It was hoped the filming of Goodbye Pork Pie in Invercargill might establish a new annual car rally, King said.

"With the Goodbye Pork Pie filming we're thinking very seriously of a Goodbye Pork Pie annual rally event [or] if we can get an annual rally to Invercargill utilising the Bill Richardson Museum display."

Invercargill Mayor Tim Shadbolt said the agreement with Film Otago Southland allowed them to connect Southland to Queenstown's film industry.

"It's one of the few cases where we've joined with Otago outside of Southland and it's on of the few occasions where we think it's been very successful to us.

"They've got all the film resources and everything and to be linked to Queenstown is quite a strategic move."

Goodbye Pork Pie promotion and advertising ideas could not be revealed at this time, Shadbolt said.

"I think people in the film industry will be quite impressed."

Invercargill Licensing Trust general manager Greg Mulvey said the trust was contributing $50,000.

"$50,000 is what we are paying as a grant and that's from ILT itself," Mulvey said.

"Historically we've always supported film production in Southland because we want to support the arts and it also supports SIT and their initiatives with their students."

SIT chief executive Penny Simmonds would not reveal SIT's financial contribution but said some would be paid in favours such as office space and storage for valuables.

"We're putting in a small amount of cash."

About six students would work on the film as part of the deal, Simmonds said.

"There's a whole lot of conditions that they [film producers] have to take in, a number of our interns and they have to do guest speaking at our lectures as well.

"It means our interns get paid employment and exposure to those in the industry."

Film Otago Southland executive manager Kevin Jennings said the funding package from Southland gave the industry continuity.

"It means we get two projects to the region and gives us continuity which is what it takes to really build an industry."