Arkansas sets itself apart as the rich soil for the food and beverage manufacturing industry in North America because of its long history of success in the industry, a wealth of agricultural outputs, the strong and skilled workforce, as well as the pro-business environment. Among the nearly 340 food and beverage manufacturing companies with operations in the Natural State, some are considered the largest players in the world, such as Tyson Foods and Riceland Rice Mill.

One other element that supports the food and beverage manufacturing industry’s success in Arkansas is the robust food-grade packaging industry. Regardless of the materials of the packaging, in general, food packaging serves eight main purposes (see Figure 1).


Figure 1: The eight purposes of food packaging (Click the image to see original size).

As of 2018, there are 39 food-grade packaging companies in Arkansas, with more than two-thirds being paper packaging, and the rest specializing in plastic packaging (see Figure 2). One reason for this paper-heavy distribution is because Arkansas is located in the nation’s wood basket. The state’s forestry industry prospers, especially the west and south portions of the state, outputting products like paper for packaging materials.

Figure 2: Food-grade packaging companies in Arkansas (Click the image to see original size).

Geographically, the packaging companies are scattered around the state. Within the food and beverage manufacturing company clusters (see Figure 2), which are apparent in the three general metropolitan statistical areas (MSA), the packaging companies are located within them with higher density than in other parts of the state as well. This pattern, accompanied by the convenient logistics provided by interstate highways, helps create a favorable business environment for the overall food and beverage industry in the state.

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