Arkansas has an abundance of resources to help food processing companies succeed. The Arkansas Economic Development Commission works directly with food processing companies looking to start-up, expand or relocate. In addition, we assist companies with finding the best incentives so companies are able to make money quickly and efficiently.
There were 522 food and beverage companies in Arkansas at the end of 2022. These companies employed 55,130 people. Arkansas is home to Tyson Foods and numerous other food processing facilities, including Nestle, JBS USA, Kraft Heinz, Mars Inc., Cargill Inc., Hormel Foods Corp, Riceland Foods, Pilgrim’s Pride, ConAgra Brands Inc., Land O’ Frost and Frito-Lay, Inc.
Arkansas has the 5th largest percentage of food processing workers in the United States. The growth rate of the food and beverage industry from 2017 to 2022 was 6 percent in Arkansas.
The food processing industry is booming in Arkansas and continues to grow exponentially. Eight of the top 10 food and beverage companies by revenue in the world have manufacturing facilities in the state.
Arkansas is meeting the workforce needs for food processing companies. The state now has the second-largest number of food processing workers in the US and Arkansas has responded to industry growth by modernizing the workforce.
According to an April 2021 Energy Affordability Report by the American Legislative Council, Arkansas holds the No. 6 spot for lowest average electricity prices in the nation. This means more money in the pockets of Arkansas residents and business owners and gives the state an added advantage in future economic development.
The American Legislative Council Report evaluated each state’s electric pricing in cents per kilowatt-hour (KWh) with data sourced from the U.S. Energy Information Administration (EIA). The prices were broken down into residential, commercial, industrial, and transportation sectors. The report states, “While the ‘total’ price of electricity is the main focus of this report, the sector-specific prices are important to note because they can directly impact a state’s economic competitiveness. Electricity prices in these sectors serve as important business inputs, helping to determine how many and which types of businesses choose to operate in that state.” When looking at the prices broken down by sectors, Arkansas tied for the No. 1 lowest average price in the residential sector and showed itself to be noticeably competitive in the other sectors as well.
Low energy prices are a part of the reason Arkansas has one of the lowest costs of doing business in U.S. Combined with its expansive infrastructure, strong workforce, and competitive incentives for businesses, it’s evident that Arkansas is in a prime position for economic growth in the foreseeable future.
