Clutha Gold Charitable Trust chairman Rod Peirce said contractors would start work at Beaumont, finishing at Cockleshell Rd in the Evans Flat area near Lawrence.
SouthRoads won the contract for that section of the trail, with Waitahuna-based Homer Contracting due to work on the Evans Flat to Lawrence section later in the year.
The 73km trail, which will cost an estimated $5.5 million, was the first in Central Otago to receive funding under the New Zealand Cycle Trail project, with $3.8 million from the Government.
A 20km section is planned in the Clutha district, between Beaumont and Lawrence, and the remaining 53km will be in Central Otago, from Lake Roxburgh to Beaumont.
The trail is being constructed in six sections.
Stage one from Roxburgh Dam to Roxburgh was "virtually concluded", but awaiting the construction of two bridges.
"Progress is going quite well. We'd like to think it would be finished by the end of the year, or at least the beginning of next year. Either way, some of the trail should be open for the summer."
The trust had hoped to begin work on the trail last year, but was unable to do so as contractors were not available any earlier.
The Clutha District Council is running workshops designed to help facilitate ideas and identify opportunities for the community arising from the Clutha Gold Trail.
The first workshop was held in November last year, with the third held on Tuesday night.
Council development manager Jill Borland said the council wanted a forum to help create ideas and identify opportunities for the local community arising from the Clutha Gold Trail.
The public "Trail Opportunities Forum" aimed to identify those with an interest in the trail development and establish a mode of communication.
She hoped it would also identify community resources, skills and interests to maximise potential trail-related opportunities.
Two more workshops have been planned for July 31, and August 14.
