The Texas Cottage Food Law (Health & Safety Code Chapter 437) authorizes home-based production and sale of certain non-potentially-hazardous foods statewide. Cities and counties cannot prohibit cottage food operations or require permits, and SB 541 (2025) raised the annual sales cap to $150,000.
Under HSC 437.001 and related sections, a cottage food production operation may earn up to $150,000 in annual gross income from food sales — a cap SB 541 (2025) raised from $50,000 effective September 1, 2025, now adjusted annually for inflation. Allowed foods include baked goods, candy, jam, dried herbs, popcorn, fermented vegetables, and certain canned acidic foods. Producers must complete a food handler course and label products with required disclosures (name, address, ingredients, allergen warning, and a home-kitchen statement). Sales are allowed at home, farmers markets, festivals, and online if the operator personally delivers the product, and SB 541 newly permits wholesale sales to cottage food vendors. Local governments cannot regulate cottage food production beyond the statute.
Selling unapproved hazardous foods, omitting required labels, exceeding the $150,000 annual cap, or selling through unauthorized channels can void cottage food protection and trigger health code enforcement.
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