As Tyson Foods prepares to close its poultry processing complexes in the Ozark region of Arkansas, many local residents, officials and business owners are reflecting on the economic impact of the shutdown. The closure of the two plants in Springdale and Green Forest comes as a huge blow to the local economy, as thousands directly employed by the company face a uncertain future.
The consequences of the closures are already being felt: among those most acutely hit are the livestock and produce farmers in the region who supply the two now-shuttered plants. Since many have omitted to diversify their income in case of such eventualities, the closures have posed severe financial hardships for these families.
The job losses brought on by the Tyson closures will also have a knock-on effect on local businesses and service providers deeply reliant upon Tyson’s workforce. Indeed, the service and retail sector were already struggling before this additional blow, with sales at some businesses dropping by as much as 50 percent in the last year alone.
Yet, despite the grim situation, hope does remain. First, the local economy may be able to take advantage of other businesses that are facing a post-pandemic expansion, such as the healthcare, digital technology, and logistics sectors. Local business owners are planning to build on this, and programs designed to increase awareness of economic opportunities in the region are also being discussed.
Furthermore, Tyson’s closure could open doors for other food-processing companies that are looking to invest in the Ozarks. Already, JBS USA and Simmons Foods have expressed an interest in taking on the former Tyson workers, although many people in the local area are still skeptical.
In the end, the local Ozarks community will likely need to take a number of steps to ensure its long-term economic stability. From establishing relationships with new businesses to proactively seeking out potential investors, the Radiac region of Arkansas provides an example of the hardships brought on by widespread plant closures – and the potential for economic recovery.