April 9, 2008

 

Cargill to receive assistance for rebuilding of Arkansas meat plant

 

 

Cargill is being offered a 35-acre land, tax breaks and other incentives by Arkansas officials to rebuild a meat packing plant in Booneville that was recently destroyed by an explosion.

 

Governor Mike Beebe said Monday that his office has put together a package from the economic development commission and the city and county are giving some free land and deferred real estate taxes to try to encourage Cargill to rebuild.

 

Beebe's office said it would not disclose the amount of the incentives being offered to rebuild the Cargill Meat Solutions plant, which was mostly leveled by a fire and series of explosions last month.

 

Booneville mayor Jerry Wilkins estimated the incentives being offered from his city are between US$700,000 and US$1 million.

 

Part of that comes from a 35-acre plot of land adjacent to the existing meat packing plant that the city has offered to the Minneapolis-based company.

 

Wilkins said the city has also offered some tax incentives and breaks on the property's water and sewer bills to the company.

 

Cargill spokesman Mark Klein said the company has not decided yet whether to rebuild the factory.

 

The company has offered workers at the plant jobs at other sites and told workers that if they want to relocate, they should apply for jobs at turkey processing operations in Springdale or Dayton, Vancouver, or California, Missouri.

 

If Cargill rebuilds, workers would be able to re-apply and will be given their seniority and tenure back.

 

Beebe said he has not received a commitment from the company that it will rebuild and said he is worried that other states will try to lure the firm outside Arkansas.