New Mexico Cottage Food Laws (2026): Selling Homemade Food Legally
This is general information, not legal or tax advice. Permit and tax rules change, and your situation may differ. Always confirm current requirements with the official state agency linked in this guide, and consult a licensed attorney or tax professional for advice about your specific business.Last verified against official state sources: 2026-06-12
Quick answer
- Law / program
- New Mexico Homemade Food Act (HB 177 of 2021, NMSA Ch. 25, Art. 12)
- Annual sales cap
- None
- Official details
- State cottage food page
Do you need a license to sell homemade food in New Mexico?
No permit, license, inspection, or registration since July 2021. The Act lets NMED run a voluntary permit system and lets Albuquerque/Bernalillo County run their own, but in practice both the city and county have stopped issuing home-based food permits and require none for compliant operations.
Yes: a department-approved food handler certification card before you start producing, plus statutory kitchen sanitation rules (pets and children out of the kitchen during production, pest control, sanitary transport).
What foods are allowed
Only non-TCS shelf-stable foods: baked goods without cream fillings or refrigerated frostings, candy, popcorn, chocolate-covered pretzels, dehydrated fruits, granola, dry mixes, roasted coffee, nuts, honey, dried beans and chile, herbs, whole produce, and traditional high-sugar fruit jams and jellies.
Any TCS food: meat, jerky, fish, dairy, salsa, hot pepper jelly, canned fruits and vegetables, pickled products, cream pies, cheesecake, cream cheese frosting, cut melons and greens, caramel apples, hummus, garlic in oil, dressings, and nearly all beverages (juices, kombucha, cider), plus anything containing alcohol.
Where you can sell
Direct to consumers only, within New Mexico: farmers markets, festivals (craft fairs qualify), roadside stands, your home for pickup or delivery, the internet, and mail delivery inside the state. No restaurants, wholesalers, distributors, retail stores, or out-of-state shipping.
In-person events are where most cottage food sellers move product. Browse upcoming craft fairs in New Mexico to find shows with dates, booth fees, and application deadlines.
Labeling requirements
Provide the consumer: your name, home address, phone, and email; the food's common name; ingredients in descending order with sub-ingredients; and the exact statement: 'This product is home produced and is exempt from state licensing and inspection. This product may contain allergens.' Via package label, bulk container label, point-of-sale placard, or the webpage for online sales.
Sales tax and local rules
New Mexico's gross receipts tax applies: the food deduction covers qualifying retail food stores only and excludes open-air and concession vendors, so homemade food sold at craft fairs and markets is generally taxable. Register for a Business Tax ID and report GRT at the rate for each sale location.
The Act preempts local regulation statewide, with the one Albuquerque/Bernalillo carve-out, and even there any permit system must allow everything the Act authorizes; both currently require no permit, but sellers there should confirm with 311 or county Health Protection.
Enforcement starts with a mandatory written warning; failing to comply after the warning is a misdemeanor with fines up to $100 per violation, and suspected contaminated food can be stopped from sale.
Selling non-food crafts too? See the New Mexico craft fair permit and sales tax guide.
New Mexico cottage food FAQ
Can I sell homemade food in New Mexico?
Yes, under New Mexico Homemade Food Act (HB 177 of 2021, NMSA Ch. 25, Art. 12). No permit, license, inspection, or registration since July 2021. The Act lets NMED run a voluntary permit system and lets Albuquerque/Bernalillo County run their own, but in practice both the city and county have stopped issuing home-based food permits and require none for compliant operations.
What foods can I sell under New Mexico's cottage food law?
Only non-TCS shelf-stable foods: baked goods without cream fillings or refrigerated frostings, candy, popcorn, chocolate-covered pretzels, dehydrated fruits, granola, dry mixes, roasted coffee, nuts, honey, dried beans and chile, herbs, whole produce, and traditional high-sugar fruit jams and jellies. Any TCS food: meat, jerky, fish, dairy, salsa, hot pepper jelly, canned fruits and vegetables, pickled products, cream pies, cheesecake, cream cheese frosting, cut melons and greens, caramel apples, hummus, garlic in oil, dressings, and nearly all beverages (juices, kombucha, cider), plus anything containing alcohol.
Is there a sales limit for cottage food in New Mexico?
No. New Mexico places no annual cap on cottage food sales.
Where can I sell cottage food in New Mexico?
Direct to consumers only, within New Mexico: farmers markets, festivals (craft fairs qualify), roadside stands, your home for pickup or delivery, the internet, and mail delivery inside the state. No restaurants, wholesalers, distributors, retail stores, or out-of-state shipping.
What has to be on my label in New Mexico?
Provide the consumer: your name, home address, phone, and email; the food's common name; ingredients in descending order with sub-ingredients; and the exact statement: 'This product is home produced and is exempt from state licensing and inspection. This product may contain allergens.' Via package label, bulk container label, point-of-sale placard, or the webpage for online sales.
Do I charge sales tax on cottage food in New Mexico?
New Mexico's gross receipts tax applies: the food deduction covers qualifying retail food stores only and excludes open-air and concession vendors, so homemade food sold at craft fairs and markets is generally taxable. Register for a Business Tax ID and report GRT at the rate for each sale location.
Find places to sell in New Mexico
Browse upcoming craft fairs and markets in New Mexico with booth fees and application deadlines, and use the booth ROI calculator to plan a profitable season.
Official sources
- NMED Food Program, Homemade Food Act
- HB 177 (2021), Homemade Food Act, Enacted Text
- NMED Homemade Food Act Factsheet
- City of Albuquerque, NM Homemade Food Act
- NM Taxation and Revenue, Gross Receipts Tax Overview
Last verified: 2026-06-12. Spotted something out of date? Let us know.