Texas Cottage Food Law

Created by SB 541 (2025). A cottage food vendor is a person with a contractual relationship with the operation who sells its food directly to consumers on their behalf (§ 437.001(3)). A producer may sell at wholesale to such a vendor, who must register with DSHS and may then sell directly to consumers at a farmers' market, a farm stand, a food service establishment, or any retail store (§ 437.01965(a), (d)). TCS foods cannot be wholesaled. Wholesaled product must include the production date on the label, and the vendor must display a prominent sign at the point of sale reading "THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE THAT IS NOT SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION." (§ 437.01965(b), (c)).

How much can I make under Texas cottage food law?

The current Texas cottage food annual gross-revenue cap is $150,000, raised from $50,000 by SB 541 effective September 1, 2025. The cap is measured against gross receipts from cottage food sales — not net profit — and § 437.001(2-b)(B) directs DSHS to adjust it annually for inflation using the Consumer Price Index for All Urban Consumers (CPI-U), so check the DSHS cottage food page for the current-year figure. Once your gross cottage food sales cross the cap in a calendar year, you must transition to a permitted commercial kitchen or stop selling under the cottage food exemption until the next calendar year.

Do I need a license or permit to sell cottage food in Texas?

No traditional license or facility permit is required, but state law requires the producer to complete an accredited food handler course and keep the certificate on file. As of September 2025, producers may also voluntarily register with DSHS to receive a registration number that can replace the home address on product labels.

Can I wholesale my cottage food to a retail store in Texas?

Yes — but only through a registered cottage food vendor. SB 541 (2025) created a new wholesale path: a cottage food production operation may sell at wholesale to a cottage food vendor, who must register with DSHS and may then sell directly to consumers at a farmers' market, a farm stand, a food service establishment, or any retail store. The vendor must also display a prominent sign at the point of sale carrying the same home-production disclosure that goes on the label, and wholesaled product must show the date the food was made. Time and temperature control for safety (TCS) foods cannot be wholesaled.

Can I sell hot sauce, pickles, or canned goods under Texas cottage food law?

Texas allows certain acidified and pickled goods under cottage food rules, but only when the producer can document equilibrium pH at or below 4.6 using a calibrated pH meter and the product is properly labeled. This is one of the few states that permits any acidified products under cottage food.

Can I ship or mail Texas cottage food to my customer?

No — not across state lines, and not within Texas either. Cottage food sales are limited to Texas, and interstate shipping triggers federal jurisdiction (FDA), which does not recognize state cottage food exemptions. Within Texas, an internet order may be sold only if the operator, an employee, or a household member personally delivers the food to the consumer (Tex. Health & Safety Code § 437.0194(b)(1)) — USPS and common carriers are not a compliant delivery method. SB 541 (2025) struck the former "or by mail order" wording from § 437.0194(b), and neither the statute nor DSHS guidance affirmatively authorizes carrier shipment, so treat mail order as unavailable until DSHS says otherwise.

What goes on a Texas cottage food label?

A compliant label includes the producer name and either the producer street address (or city, state, and zip) OR a DSHS-issued registration number, the product name, the full ingredient statement in descending order by weight, allergen disclosures for the major nine allergens, net weight or volume, and the disclosure: "THIS PRODUCT WAS PRODUCED IN A PRIVATE RESIDENCE THAT IS NOT SUBJECT TO GOVERNMENTAL LICENSING OR INSPECTION." SB 541 (2025) replaced the older "made in a home kitchen" wording with this statement effective September 1, 2025. Wholesaled product must additionally include the production date, and refrigerated/TCS products must add the production date plus a 12-point safe-handling statement.