AGP Executive Report

Northwest Arkansas Business: Next Day Access Northwest Arkansas has opened, offering residential and commercial accessibility solutions. The region’s commercial market remains tight, with industrial vacancy at 5.3%, office at 5.9% and retail at 3.9% in the third quarter. Data-Center Debate: Little Rock’s board is preparing to vote on a six-month pause on new data centers as it weighs rules for a proposed Google project valued at $1 billion. Arkansas Manufacturing: L3Harris won a $250 million Lockheed Martin order for record GMLRS rocket-motor production at its Camden facility, set to open later this year. Camden-based R2S has also delivered its first locally produced Tamir interceptors. Farm Economy: Arkansas growers face lower soybean yields and rising production costs, while lawmakers are weighing expanded tax exemptions for farm-equipment repairs and fencing materials. Investment and Infrastructure: Venture capital investment in Arkansas fell 33% to a five-year low, while the state has disbursed its first BEAD award for broadband expansion.

Startup Finance: Arkansas companies drew $197 million in angel, seed and venture funding in 2025, but venture investment fell 33% to $184.3 million, its lowest level in five years. Energy Costs: State regulators approved new Black Hills gas rates effective Oct. 12, allowing recovery of about $147 million in system investments and adding $17.9 million in annual revenue. Agriculture Technology: Arkansas and Japanese officials called for stronger training and research partnerships to speed adoption of smart-farming tools and support sustainable food production. Broadband Buildout: Arkansas has made its first BEAD disbursement — $2.6 million to Brightspeed — toward projects expected to connect more than 13,700 homes and businesses across 25 counties. Workforce: A-State and regional partners are building the CREST Center with a $7.5 million state grant to train workers for Northeast Arkansas industries. UAPB also received a $350,000 grant for agricultural research and career preparation. Advanced Manufacturing: Camden-based R2S delivered its first Tamir interceptors, marking a new step for Arkansas defense production. Farm Pressures: Arkansas farmers face lower soybean yields and rising harvest costs, tightening margins as the season progresses.

Defense Manufacturing: Camden-based R2S delivered its first Tamir interceptors, a milestone for Arkansas defense production. Agriculture: Arkansas farmers face lower soybean yields and rising harvest costs as lawmakers consider tax breaks for farm-equipment repairs and fencing. Delaplaine farmer Terry Gray is growing a market for Arkansas-developed jasmine rice, while a Kubota-backed series hosted by Arkansas educator Taylor Moran promotes hands-on farm learning. Energy & Utilities: A proposed Arkansas solar project would use a local rice farm to explore a major challenge for solar power. Electric Cooperatives of Arkansas sent 200 lineworkers to help restore storm-hit systems in Alabama and Florida. Workforce: Tyson Foods awarded UAPB $100,000 for career readiness and workforce resilience.

Defense Manufacturing: Camden’s Raytheon-Rafael facility has delivered its first U.S.-made Tamir interceptors, beginning production for the Iron Dome system. The $63 million investment could create up to 60 jobs, with output set to grow. Agriculture: Arkansas farmers face disappointing soybean yields and an estimated $343 million in added costs for fuel and fertilizer across five major row crops. State lawmakers are also weighing tax breaks for farm-equipment repairs, replacement parts and livestock fencing. Rural Infrastructure: Southeast Arkansas cities and counties have until Oct. 16 to seek community development grants, including up to $1 million for qualifying water and wastewater projects. Clean Energy: University of Arkansas researchers plan to test 96 floating solar panels on a rice reservoir near Stuttgart, exploring power generation without taking farmland out of production.

Defense Manufacturing: Camden’s Raytheon-Rafael plant has delivered its first U.S.-made Tamir interceptors, marking a production milestone for the Arkansas facility as it scales output. Energy Investment: Standard Lithium’s planned $1.5 billion extraction plant in south Arkansas is nearing a construction decision, with offtake agreements in place and the company citing the region’s potential for a domestic battery-materials industry. Agriculture: Arkansas poultry growers face continued avian-flu risk as a strain persists in wild birds; University of Arkansas researchers say outbreak timing can help farms prepare. Rice harvest results have also raised concerns for next season, while farmers are set to receive up to $1 billion in federal safety-net payments. Health Services: Arkansas has recorded 11 hospital mergers and acquisitions so far this year as providers seek financial support and operational stability. Workforce: The University of Arkansas has launched a 10-year effort to graduate more engineers and expand the state’s talent pipeline.

Defense Manufacturing: A new rocket-motor test advances plans for General Dynamics to make motors for Lockheed Martin’s GMLRS rockets at its Camden facility, building on Arkansas’ role in producing Iron Dome interceptors. Agriculture: Extreme summer heat is cutting into Arkansas soybean yields, with growers reporting disappointing harvests despite an earlier record forecast. Farmers could receive up to $1 billion in federal aid, while the Game and Fish Commission is pressing for priority funding for Bayou Meto water improvements that support agriculture and aquifers. Workforce: Arkansas apprenticeships topped 10,000 in 2025, more than double the level a decade earlier. The University of Arkansas also launched a 10-year effort to grow engineering graduates, as Northwest Arkansas groups work to connect education with employers. Industry Investment: United Petfood bought a western Benton County plant for $24.22 million. Energy: Entergy asked Arkansas regulators to reconsider its 20-year agreement for a Mississippi County solar project.

Agriculture: Extreme summer heat is undermining Arkansas’ expected record soybean crop. With harvest 72% complete, University of Arkansas extension specialist Jeremy Ross says farmers are reporting flat pods and immature seeds and the state is unlikely to reach its 57-bushel-per-acre forecast. Defense Manufacturing: Camden-based contractor R2S has delivered its first U.S.-made Tamir interceptors, a milestone for Arkansas’ defense production sector. Factory Investment: United Petfood bought a plant in western Benton County for $24.22 million, while a Bentonville manufacturing accelerator recently wrapped with business pitches and a Bad Boy Mowers keynote. Energy: Entergy is asking Arkansas regulators to reconsider its 20-year agreement for a Mississippi County solar project. Little Rock Development: A $100 million Bezos Earth Fund initiative includes early funding for a 20-acre park on a former downtown highway ramp, planned to connect more than 100 acres of riverfront green space.

Little Rock Redevelopment: A $100 million Bezos Earth Fund package includes initial support for a proposed 20-acre park on a former motorway ramp, connecting riverfront green space with the Clinton Presidential Center. Defense Manufacturing: Camden-based R2S delivered its first U.S.-made Tamir interceptors, a milestone for Arkansas defense production. Northwest Arkansas Business: United Petfood bought a plant in western Benton County for $24.22 million. Workforce Pipeline: The University of Arkansas launched a 10-year initiative to graduate more engineers and expand the state’s skilled workforce. Agriculture: Arkansas farmers face an estimated $343 million in added shipping costs tied to Middle East disruptions, while up to $1 billion in federal aid is headed to farmers enrolled in safety-net programs.

Defense Manufacturing: East Camden’s Raytheon-Rafael facility delivered its first fully U.S.-made Tamir interceptor to Israel, marking a milestone for Arkansas defense production. Energy: Entergy is asking state regulators to reconsider its 20-year agreement for a Mississippi County solar project, putting a major clean-energy deal back under review. Business Expansion: United Petfood bought a plant in western Benton County for $24.22 million, adding a notable investment in the state’s food-manufacturing sector. Workforce: Northwest Arkansas’ new workforce intermediary is bringing educators and employers together to connect students with in-demand jobs; a Nucor-donated crane simulator is also expanding skilled-trades training. Agriculture: Arkansas rice harvest results have disappointed, raising concern for next year, while farmers could receive up to $1 billion in federal safety-net payments.

Energy: Entergy Arkansas is asking regulators to reconsider a 20-year power deal for Pattern Energy’s planned 440-megawatt Mississippi County solar farm, targeted to open in 2028. Workforce: A new Northwest Arkansas intermediary is bringing schools and employers together to connect students with in-demand, higher-wage jobs, including manufacturing careers. Manufacturing: Camden’s Raytheon-Rafael plant has delivered its first U.S.-made Tamir interceptors; the $63 million facility expects to create up to 60 jobs. A Bentonville accelerator also graduated 25 Arkansas manufacturers, helping them plan for growth. Investment: United Petfood bought a Decatur dry-food plant for $24.22 million, adding capacity to its North American operations. Agriculture: Arkansas farmers could receive up to $1 billion in federal farm-support payments, while a weaker rice outlook adds to concerns after a disappointing harvest.

Defense Manufacturing: Camden’s Raytheon-Rafael facility delivered its first U.S.-made Tamir interceptors, launching domestic production of Iron Dome missiles. The $63 million plant is expected to create up to 60 jobs as production expands. Agriculture & Research: Arkansas State University secured a $2.2 million NSF grant to study drought-resistant rice and wheat, while a disappointing rice harvest raises concerns for 2027. Arkansas farmers may receive up to $1 billion in federal safety-net payments. Workforce Development: The University of Arkansas launched a 10-year effort to graduate more engineers and strengthen the state’s workforce. Economic Development: Arkansas voters will decide whether Issue 3 should let lawmakers create economic-development programs and enable local economic districts.

Defense Manufacturing: Camden has delivered its first U.S.-made Iron Dome Tamir interceptors to Israel. Hanwha Aerospace has also announced a $2.2 billion Arkansas munitions campus. Workforce & Engineering: The University of Arkansas’ 10-year Vision 2035 plan aims to expand engineering graduates, research and industry partnerships; projections point to 58,000 engineering job openings statewide by 2038. Agriculture: Arkansas rice yields are averaging 167 bushels an acre, with heat and drought hurting grain quality and raising concern about next year’s crop. Farmers are set to receive an estimated $1 billion in safety-net benefits, while shipping disruptions could add at least $343 million in fuel and fertilizer costs. UADA and Grand Farm are exploring an Arkansas agricultural technology partnership. Transportation: The Jonesboro Eastern Bypass is now expected to finish in December 2028, nearly three years later than first projected. Rogers Executive Airport earned state Airport of the Year honors as operations rose 80% from their 2021 low.

Defense Manufacturing: Camden’s Raytheon-Rafael plant delivered its first U.S.-built Tamir interceptor, launching domestic production of Iron Dome missiles. The $63 million facility is expected to create up to 60 jobs and expand as demand grows. Retail Supply Chain: Walmart’s Bentonville Open Call drew 125 prospective suppliers from 35 states and Puerto Rico; buyers issued 34 invitations to continue talks during the event. Agriculture: War-related shipping disruptions have added an estimated $343 million in costs for Arkansas farmers, while federal aid of up to $1 billion is headed to eligible producers. Manufacturing Investment: Hanwha Aerospace plans a $2.2 billion munitions manufacturing campus in Arkansas, a major proposed addition to the state’s industrial base. Health Services: Arkansas Children’s Northwest completed an $82.7 million expansion in Springdale, adding 15 inpatient beds and new specialty-care capacity.

Healthcare Expansion: Arkansas Children’s Northwest opened an $82.7 million Springdale expansion, adding 15 beds and new specialty, therapy and surgical capacity. Made in Arkansas: Walmart’s Bentonville Open Call brought 125 prospective suppliers to meet buyers, with 34 companies earning invitations to pursue sales in stores or online. Agriculture: Arkansas farmers could receive up to $1 billion in federal safety-net payments, as another hot, dry harvest threatens rice quality and milling returns. Manufacturing: Hanwha Aerospace plans a $2.2 billion munitions manufacturing campus in Arkansas, a major investment in the state’s industrial base. Business and Jobs: Tyson Foods’ new CEO, Jeff Schomburger, takes over as the Springdale company faces steep losses in its beef business; Fort Smith’s manufacturing employment also grew year over year, while tourism jobs reached a record in August. Bioindustry: Southwest Arkansas earned an “AA” rating for woody biomass supply, positioning the region to attract forest-products and bio-based manufacturing investment.

Agrifood R&D: University of Arkansas researchers are using AI and DNA data to identify bacteria linked to premature beef browning, a problem estimated to cost the U.S. industry $3.7 billion a year. Energy & Utilities: Arkansas regulators approved an 8.6% residential rate increase for Black Hills Energy customers—about $6.38 a month at typical usage. Sen. Tom Cotton also called for power-plant upgrades during a visit to Flint Creek in Gentry. Manufacturing: Hanwha Aerospace announced a $2.2 billion munitions manufacturing campus in Arkansas. A Ford report finds the state added about 11,000 skilled-trades workers from 2019 to 2025, but has the lowest median trades pay nationwide. Digital Infrastructure: Atlantic HPC, which operates power-intensive computing and bitcoin-mining facilities in Arkansas and other states, appointed Leo Lin CEO. Fort Smith approved a data-center ordinance while seeking tighter restrictions. Northwest Arkansas Development: Onyx Coffee Lab will be the first commercial tenant at Fayetteville’s Drake Farms, with its location expected to open in 2028. Forestry: UAM opened a $17.5 million Forest Health Research Center to advance research in a key Arkansas industry.

Food & Beverage Industry: Slim Chickens is bringing Dr Pepper from fountain to flavor, rolling out a Dr Pepper dry rub tied to its Dr Pepper Blasted Tenders and wings. Food Safety: Flowers Foods recalled Nature’s Own Hawaiian Bread sold in Arkansas and several other states because milk wasn’t declared on the label. Agriculture & Research: Arkansas researchers are using AI plus existing DNA data to find bacteria that could help keep fresh beef from browning early. Energy & Utilities: The Arkansas Public Service Commission approved new Black Hills Energy Arkansas rates, with residential customers facing an 8.6% increase next month. Fuel Policy: USDA Secretary Brooke Rollins urged governors to expand access to on-road use of dyed diesel after Trump moved to suspend penalties. Local Industry & Growth: Fort Smith approved a data center ordinance, but board members want tighter rules and clearer limits around water sales. Workplace Safety: Bentonville’s Kwema won a national workplace safety award for its smart badge reel. Business Climate: A report says Northwest Arkansas must keep diversifying and managing housing costs to maintain its “Best Performing City” rank.