Guide
Do I need a nutrition label to sell food?
By the Panelry team · Checked against 21 CFR 101.9(j) (eCFR) · Updated July 2026
The short answer
Probably not yet. Most cottage-food and small-batch sellers are exempt. But the retailer exemption covers only food you sell directly to consumers, every exemption ends the moment you make a nutrient claim or give any other nutrition information, and each has thresholds you can outgrow. And every food label still needs ingredients, allergens, net weight, and your business identity.
The exemptions that cover most small makers
The FDA's nutrition labeling rule (21 CFR 101.9) has built-in exemptions under paragraph (j):
- Small retailer exemption: for food you sell directly to consumers, when your sales to consumers are $500,000 or less a year, or your food sales to consumers are $50,000 or less, averaged over the last two years (21 CFR 101.9(j)(1)). Nothing to file. It applies automatically unless you make a claim or give any other nutrition information.
- Low-volume exemption: fewer than an average of 100 full-time-equivalent employees and fewer than 100,000 units of that product sold in the US in the previous 12 months (21 CFR 101.9(j)(18)). It normally needs a notice filed with FDA before each 12-month period, but if you are not an importer, have fewer than 10 full-time-equivalent employees and sell fewer than 10,000 units of the product a year, no notice is needed (101.9(j)(18)(iv)). Outgrow it and you have 18 months to add the panel (101.9(j)(18)(iii)).
- Food served for immediate consumption in restaurants or by food-service vendors (food trucks, carts, cookie counters), and ready-to-eat food made and sold only in the same retail shop, is exempt under separate provisions (21 CFR 101.9(j)(2) and (j)(3)), again only while no claims or nutrition information appear.
The claims trap
Every exemption above evaporates for a product the moment its label, labeling or advertising makes a nutrition claim, “sugar free”, “high fiber”, “only 90 calories”, “good source of protein”, or gives any other nutrition information, such as a calorie count or a voluntary nutrition table. One claim, or one number, means a full Nutrition Facts panel, no matter how small you are. (Panelry's builder includes a claims checker so you know what you could legally say, and what saying it commits you to.)
What your label needs even when you're exempt
The exemption only covers the Nutrition Facts panel. Every packaged food still must show:
- Statement of identity (what the food is)
- Ingredient list in descending order by weight
- Allergen declaration (the Big 9)
- Net quantity of contents
- Your business name and address
- For cottage food: your state's home-kitchen disclosure
When you'll need the panel
- A grocery store, café, or distributor asks for it (they commonly do)
- You sell units to a retailer or distributor rather than directly to consumers
- You want to make any nutrient claim or print any nutrition information
- You outgrow the thresholds above (the low-volume exemption gives you 18 months)
When that moment comes, you don't need a lab test to build the panel. FDA does not prescribe how you arrive at the numbers: its guidance leaves the data source to the manufacturer, who stays responsible for their accuracy, and FDA checks compliance by analyzing the finished product. Calculating from USDA ingredient data is what the Panelry nutrition label maker does with USDA data, for $9.
Common questions
Do I need a nutrition label to sell homemade food?
Usually not at the start. Cottage-food sellers and very small businesses are typically exempt from the FDA Nutrition Facts panel, but you always need the basics: product name, ingredient list in descending order by weight, allergen declaration, net weight, and your name and address (plus your state's home-kitchen disclosure for cottage food).
What is the FDA small-business exemption?
Two main paths: (1) the retailer exemption, for food you sell directly to consumers, when your sales to consumers are $500,000 or less a year or your food sales to consumers are $50,000 or less (21 CFR 101.9(j)(1)); and (2) the low-volume exemption, for a business with fewer than 100 full-time-equivalent employees selling fewer than 100,000 units of the product a year in the US (101.9(j)(18)). The low-volume path needs a notice filed with FDA before each 12-month period unless you are not an importer, have fewer than 10 full-time-equivalent employees and sell fewer than 10,000 units of that product a year, in which case no notice is needed (101.9(j)(18)(iv)).
What makes me lose the exemption?
Making any nutrition claim ('sugar free', 'high protein', 'only 90 calories', 'keto-friendly' with nutrient implications), or giving any other nutrition information such as a calorie count, voids the exemption for that product. The moment it appears on the package, in labeling or in your advertising, the product needs a full Nutrition Facts panel.
Do I need a nutrition label to sell at farmers markets?
Generally no, if you qualify for a cottage-food program or a small-business exemption and make no nutrient claims. You still need your state's required cottage-food label (ingredients, allergens, net weight, home-kitchen disclosure).
When do retail or wholesale buyers require one?
Grocery stores, coffee shops reselling your product, and distributors commonly require a full FDA Nutrition Facts panel regardless of your legal exemption. It's a purchasing standard, not just a legal one. The retailer exemption itself covers only food you sell directly to consumers, so units you wholesale fall outside it, and shipping across state lines puts you squarely under FDA labeling rules.
How much does a nutrition label cost?
Laboratory analysis is priced per product and per nutrient, commonly hundreds of dollars for one panel. FDA does not prescribe the method: its database guidance leaves the data source to the manufacturer, who remains responsible for accurate values, and FDA checks compliance by analyzing the finished product. Panelry calculates the panel from USDA ingredient data for $9 per finalized panel.
Not legal advice
Exemption rules have edge cases (imports, dietary supplements, restaurant-adjacent formats). Verify your situation against 21 CFR 101.9(j) and FDA's Small Business Nutrition Labeling Exemption guidance, or ask a food-label consultant. See our disclaimer.