Iowa Cottage Food Laws

Iowa has two paths for home food businesses. Cottage food under Iowa Code 137F.20 is exempt from state licensing and inspection when sold directly to the consumer, including by phone, internet and mail delivery, with no sales cap in the statute. A home food processing establishment license under chapter 137D costs $50 a year, allows sales of more foods and resale, and caps gross annual sales below $50,000. This guide covers what you can sell, how you can sell, labeling and when you need a license.

Disclaimer: This page is general information, not legal advice. Laws change, and local zoning, HOA and tax rules vary. Confirm current requirements with the Iowa Department of Inspections, Appeals and Licensing, or with an attorney, before you start selling.

Quick facts

• Cottage food is exempt from state licensing, permitting, inspection and packaging laws if sold and delivered directly to the consumer, or delivered by mail or the producer's agent. Iowa Code 137F.20
• Sales may be made in person, remotely, by phone, by internet or through an agent. Iowa Code 137F.20
• No sales cap appears in the cottage food statute. Iowa Code 137F.20
• Labels with a required statement are still needed. Iowa Code 137F.20
• A home food processing establishment license costs $50 a year and covers businesses with gross annual sales under $50,000. Iowa Code ch. 137D
• The cottage food exemption does not mean compliance with federal law. Iowa Code 137F.20

What the law calls it

• Iowa uses "cottage food" for food produced at a private residence that is not time/temperature control for safety food, and "home food processing establishment" for a licensed home business. Iowa Code 137F.1; Iowa Code ch. 137D

Foods you can sell

• Cottage food: food made at a private residence that does not need time/temperature control for safety, including home-canned pickles, vegetables or fruits with a pH of 4.6 or lower or a water activity of .85 or less, measured for each batch with a meter. Iowa Code 137F.1
• Licensed home food processing establishments may also make some time/temperature control for safety foods, with an expiration date on refrigerated items. Iowa Code ch. 137D

Foods you cannot sell

• Cottage food may not include milk or milk products regulated under chapters 192 or 194, or meat and poultry products regulated under chapter 189A. Iowa Code 137F.1
• Time/temperature control for safety foods are not cottage food. Iowa Code 137F.1

Sales limit

• Cottage food: no cap appears in the statute. Iowa Code 137F.20
• Home food processing establishment: gross annual sales must be less than $50,000. Iowa Code ch. 137D

Where and how you can sell

• Cottage food must be sold and delivered by the producer directly to the consumer, or delivered by mail or an agent such as an employee. Iowa Code 137F.20
• Online and phone: allowed. Iowa Code 137F.20
• Shipping: mail delivery is allowed. The statute does not say whether sales outside Iowa are allowed, and it states that following the exemption 'does not represent compliance with federal law.' Ask DIAL, and check federal rules and the receiving state's rules, before shipping out of state. Iowa Code 137F.20
• Wholesale and resale: not covered by the cottage food exemption. A home food processing establishment may produce food "for sale or resale." Iowa Code 137F.20; Iowa Code ch. 137D

Labeling rules

• Cottage food labels must show the name and address, phone number or email of the person who made it; the common name; ingredients in descending order; any major allergens; and the statement "This product was produced at a residential property that is exempt from state licensing and inspection." Home-canned items also need the date processed and canned. Iowa Code 137F.20
• Home food processing establishment labels must show the business name, common name, ingredients, net quantity, allergens, an expiration date for refrigerated TCS foods and "This product was produced at a home food processing establishment." Iowa Code ch. 137D

License rules for home food processing establishments

• A license from the Department of Inspections, Appeals and Licensing is required, costs $50 and expires one year from issue. Iowa Code ch. 137D
• The department inspects licensed establishments periodically, only in areas used to prepare food for sale. Iowa Code ch. 137D
• Raw milk and raw milk products may not be used or sold. Iowa Code ch. 137D

Zoning, HOAs and local rules

• The state cottage food exemption covers state licensing laws. Check city or county zoning and home business rules. Iowa Code 137F.20
• Check your HOA documents, since the state does not review private covenants.

Inspections

• Cottage food is exempt from state inspection. Licensed home food processing establishments are inspected periodically. Iowa Code 137F.20; Iowa Code ch. 137D

When you need a license instead

• Selling TCS foods, wholesale or resale requires a home food processing establishment license or a commercial food license. Iowa Code ch. 137D

Timeline

• 1988: Iowa created home food processing establishment licensing (1988 Acts, ch. 1220). Iowa Code ch. 137D
• 2022: 2022 Acts, ch. 1129 created the cottage food exemption in section 137F.20. Iowa Code 137F.20
• Oct. 13, 2026: this page was last reviewed against the Iowa Code.

Frequently asked questions

Do I need a license to sell cottage food in Iowa?

No, if you sell shelf-stable cottage food directly to the consumer. Source: Iowa Code 137F.20.

Is there a cottage food sales cap in Iowa?

No cap appears in the cottage food statute. A licensed home food processing establishment must stay under $50,000. Sources: Iowa Code 137F.20; Iowa Code ch. 137D.

Can I sell cottage food online in Iowa?

Yes. Sales may be made by internet or phone. Source: Iowa Code 137F.20.

Can I mail cottage food in Iowa?

Yes. Mail delivery is allowed. Source: Iowa Code 137F.20.

Can I ship cottage food to other states from Iowa?

The statute does not say whether sales outside Iowa are allowed, and following the exemption does not represent compliance with federal law. Ask DIAL and check the receiving state's rules first. Source: Iowa Code 137F.20.

Can I sell to stores or coffee shops?

Not as cottage food. A home food processing establishment license covers resale. Sources: Iowa Code 137F.20; Iowa Code ch. 137D.

Can I sell home-canned pickles?

Yes, if each batch is tested to a pH of 4.6 or lower or a water activity of .85 or less and each jar is dated. Source: Iowa Code 137F.1.

What must my Iowa cottage food label say?

Your name and contact information, the food name, ingredients, allergens and the required residential property statement. Source: Iowa Code 137F.20.

Can I sell cheesecake from home?

Not as cottage food. Licensed home food processing establishments may make some TCS foods. Source: Iowa Code ch. 137D.

Official sources

• Iowa Code 137F.20
• Iowa Code 137F.1
• Iowa Code ch. 137D

This page is general information, not legal advice. Laws change, and local zoning, HOA and tax rules vary. Confirm current requirements with the Iowa Department of Inspections, Appeals and Licensing, or with an attorney, before you start selling.