Holiday craft fairs and Facebook pre-orders keep a lot of North Iowa kitchens busy this time of year. Many of those cookies, breads, candies, and jams can be sold without a state license, permit, or inspection, thanks to the cottage food rules Iowa added to its code in 2022.
However, the exemption doesn’t mean a free-for-all. Every package still requires a highly specific label to remain compliant. For makers looking to ensure they have the exact wording, resources like Nutrition Label Studio maintain a checklist of Iowa’s cottage food label requirements that breaks down every mandatory line.
The state’s exemption covers food made at home that doesn’t need to be kept hot or cold for safety. The catch is that the food has to go from the person who made it straight to the customer. Sellers can take orders in person, by phone, or online, and can hand the food over themselves, mail it, or send it with an employee. Selling through a third party, like a local coffee shop, grocery store, or restaurant, does not qualify as cottage food.
According to Iowa Code section 137F.20, every label must show:
- The name of the person who made the food, plus an address, phone number, or email address. (Many home bakers opt for an email address to keep their home address off the packaging).
- The common name of the food, such as “cinnamon rolls” or “peanut brittle.”
- All ingredients, listed in descending order of predominance by weight.
- This exact sentence, word-for-word: “This product was produced at a residential property that is exempt from state licensing and inspection.”
- If the food contains a major food allergen (such as milk, eggs, wheat, peanuts, or sesame), a separate statement explicitly naming each one.
Home-canned pickles, vegetables, and fruits come with extra hurdles. They only qualify if every batch is checked with a pH meter or a water activity meter, testing at a pH of 4.6 or lower, or a water activity of 0.85 or less. Each jar must also display the date it was processed and canned.
While Iowa doesn’t require a standard nutrition facts panel on cottage food, the law notes that following the state exemption isn’t the same as following federal law, which immediately comes into play for food sold across state lines.
Sellers who eventually want their goods on local store shelves need a different setup entirely: a home food processing establishment license from the Iowa Department of Inspections, Appeals and Licensing. It costs $50 a year and is limited to home businesses with less than $50,000 in yearly gross sales. That specific label has its own requirements, including the net quantity and the statement: “This product was produced at a home food processing establishment.”
The complete rules can be found in Iowa Code sections 137F.1 and 137F.20 for cottage food, and chapter 137D for licensed home kitchens. The state’s official cottage food page is available at dial.iowa.gov.