A Papua New Guinea man faces murder and cannibalism charges after he allegedly killed his three-year-old daughter, ate her flesh and drank her blood, local media report.

A government councillor, John Kenny, was the first on the scene. He told the Papua New Guinea Post-Courier the child and her mother were visiting the father, Rex Eric, at a compound on Wednesday.

Kenny said the father allegedly took the child from her mother and ran into the bushes, where he held the baby close to him, bit deep into her neck, ate the flesh and sucked the blood.

Two boys climbing a nearby tree allegedly saw Eric and ran to the town.

"He was just laughing at the boys and continued eating the flesh and sucking the blood," Kenny told the Post-Courier.

The girl's body was dumped in the bushes.