Cottage food operation; increase maximum annual gross sales and authorize to advertise over the internet.
The bill facilitates greater market accessibility for cottage food operations by allowing them to advertise their products over the internet, including through social media platforms. While cottage food products can be marketed online, the bill emphasizes that actual sales cannot occur over the internet, by mail order, or through wholesale or retail establishments. This change empowers cottage food operations to reach a broader audience, significantly enhancing their visibility in a competitive marketplace without the overhead associated with traditional sales channels.
Senate Bill 2537 aims to amend Section 75-29-951 of the Mississippi Code of 1972 to enhance the operational framework for cottage food operations within the state. The primary change introduced by this bill is an increase in the maximum annual gross sales for these operations to qualify for an exemption from food establishment permit fees, raising the limit from $35,000 to $50,000. This adjustment is designed to support small businesses and cottage food entrepreneurs by allowing them to operate with fewer regulatory burdens, thereby promoting local economic growth and entrepreneurship.
Notably, the bill does include provisions that maintain oversight by the department, which retains the authority to investigate complaints related to food safety violations linked to cottage food operations. This means that while these businesses benefit from reduced regulatory hurdles, they remain accountable to food safety standards, thereby ensuring consumer protection. Critics may raise concerns that increased sales thresholds could lead to challenges in maintaining food safety compliance, while proponents argue that the bill strikes a balanced approach to foster economic opportunity without sacrificing public safety.