Establishments must have an annual, renewable license to sell food in Iowa.
In the state of Iowa, any establishment that sells food for human consumption needs a license. This license requirement is for home-based food and commercial businesses. The costs vary and are based on gross sales, according to Iowa State Extension.
License Types
There are four types of establishments that require a license in Iowa:
(1) A home-based food establishment that has gross annual sales of $20,000 or more must have a license. These establishments must also have separate retail, food preparation and processing areas.
(2) Any operation that stores, prepares, packages, serves and provides food for human consumption, such as a catering company, needs a license.
(3) Retail food establishments that sell food to consumers and not other vendors requires a license.
(4) Food processing operations that manufacture, package and label food for human consumption requires a license. However, these businesses do not sell directly to consumers.
Regulated Foods
Home-based businesses are not allowed to sell low-acidic foods, such as barbecue sauce and salsa, that require food processing, according to Iowa State Extension. All processed food such as these that are sold to restaurants, grocery stores or businesses must be made in licensed commercial facilities that maintain an optimal, sterile environment. Not doing so could result in violations of state law and the U.S. Food and Drug Administration.
Food Labeling Requirements
Labels must have the name of the product, ingredients, weight, contact information and allergens listed. Ingredients should be listed in order of predominance based on net weight. For example, if a product is made with a lot of water, then that ingredient would be listed first. Your product label must have the quantity of the product in terms of weight and measure. The contact information of the preparer of the food should be somewhere on the label as well. Lastly, any known food allergens, such as milk, eggs, peanuts, tree nuts (almonds, pecans), seafood, soybeans and wheat must be listed.
Products Not Requiring a License
Farmer's market vendors may sell the following products to consumers without having a license: fresh fruits and vegetables, food products that are not potentially hazardous, bakery products that are not potentially hazardous, shell eggs that have been kept at 45 degrees Fahrenheit and honey, according to the Leopold Center for Sustainable Agriculture. Jams, jellies and dried noodles are shelf-stable, nonpotentially hazardous food products that can be prepared in the home and sold to consumers.
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