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.
Conifex Timber Inc. is investing $80 million to re-start and re-tool what will be a state-of-the-art sawmill facility in El Dorado, Arkansas. The timber harvesting and sawmilling company, headquartered in Vancouver, Canada, will bring approximately 120 new, full-time jobs to the surrounding area, and have a significant impact on the state’s economy. This will be the company’s first facility in the southern United States.
The planned expansion into Arkansas will give Conifex access to important lumber and timber markets in the U.S., as well as the sustainable timber resources they will need for long-term success. The new location will also provide an important source of revenue diversification and reduce cash-flow volatility in the company's lumber segment according to the company. The El Dorado Mill is situated in the Arkansas “wood basket,” which will give the company access to high quality sawlogs and a skilled timber workforce.
The restored sawmill, formerly owned by Georgia-Pacific, will primarily manufacture structural grade Spruce Pine Fir dimension lumber. The company plans on the mill producing 180 million board feet initially, and sawtimber purchases are expected to amount to 700,000 tons per year, or $30 million, from suppliers within a radius of about 60 miles.
Established in 2008, Conifex Timber began operations in British Columbia with a focus on forestry sawmilling and power generation. In addition to the company’s investment in the El Dorado sawmill, it has invested approximately $80 million in two Canadian sawmill complexes and related businesses, as well as $100 million in its green power generation business, creating over 500 jobs.
Conifex’s primary business currently includes timber harvesting, reforestation, forest management, sawmilling logs into lumber and wood chips, and value-added lumber finishing and distribution. The company’s lumber products are sold in the United States, Chinese, Canadian and Japanese markets. Its operations have expanded to include bioenergy production following the commencement of commercial operations of its power generation facility at Mackenzie, B.C.
Conifex Timber Inc. joins an impressive list of timber and paper products companies opening facilities in Arkansas, including China’s Sun Paper, Kimberly-Clark and Georgia-Pacific. Since January 2015, 29 forest products companies have signed incentive agreements, resulting in proposed investments of $2 billion and the creation of 214 jobs for the state.
