Legal Disclaimer: Smart FDS is a farm management software company, not a law firm. This article is written for educational purposes only and does not constitute legal advice. The information provided here is based on publicly available sources and is intended as a general overview only. Raw milk laws change frequently and vary significantly by state. Smart FDS makes no guarantee as to the accuracy or completeness of this information. Always consult a licensed farm attorney or your state’s Department of Agriculture before making any decisions about raw milk sales or herdshare programs on your farm. Smart FDS is not responsible for any actions taken based on the information in this article.
Last updated: June 2026
Smart FDS checked with farm law resources to compile this general overview. For state-specific legal guidance, we always recommend contacting the Farm-to-Consumer portal or a licensed farm attorney in your state.

Are raw milk sales legal on your farm? Can you deliver raw milk to members? Is a herdshare protected in your state?

These are the questions dairy farm owners ask most – and the answers depend entirely on where you farm. Raw milk laws in the United States are set at the state level, which means the rules in Pennsylvania are completely different from the rules in Wisconsin or California.

This guide covers what farm owners need to understand about raw milk laws, how herdshares fit into the legal picture, and what running a compliant operation looks like day to day.

Is Raw Milk Legal in the United States?

Yes – but with significant restrictions. The FDA does not regulate the intrastate sale or distribution of raw milk. Whether to permit the sale and distribution of raw milk within a state is left entirely to each state to decide.

What federal law does prohibit is the interstate sale and transportation of raw milk. In 1987, the FDA issued a regulation prohibiting the interstate sale of raw milk for human consumption. Selling or shipping raw milk across state lines remains illegal under federal law.

Within a state, rules vary widely. According to the FDA, approximately 30 states allow raw milk sales in some form while 20 states explicitly prohibit intrastate raw milk sales.

The three main legal pathways for raw milk to reach consumers are:

  • Licensed retail sales – sold in stores with a state-issued dairy license
  • On-farm direct sales – sold directly to consumers at the farm
  • Herdshare programs – consumers own a share of the animal and receive milk as owners, not buyers

What Are Raw Milk Laws and Why Do They Vary by State?

Because the FDA leaves intrastate raw milk regulation entirely to individual states, each state has developed its own rules. Some states allow retail sales in stores. Others allow sales only at the farm. Some permit herdshare programs specifically. A small number restrict raw milk access in all forms.

This patchwork of state laws means there is no single answer to whether raw milk is legal. The answer depends entirely on your state, your sales method, and whether you are operating under a valid state permit or herdshare structure.

Always verify current rules in your specific state before making any operational decisions.

Raw Milk Laws by State: Official Sources

The table below directs you to the official regulatory authority for each state. We do not make legal claims about any state’s current law. Laws change frequently. Always verify directly with your state’s official source before making any farm or business decisions.

Note: Raw milk laws change frequently. Always verify current rules directly with your state’s official Department of Agriculture before making any farm or business decisions.

State Official Regulatory Authority Official Website
AlabamaAlabama Department of Agriculture and Industriesagi.alabama.gov
AlaskaAlaska Division of Agriculturednr.alaska.gov/ag
ArizonaArizona Department of Agricultureagriculture.az.gov
ArkansasArkansas Department of Agricultureagriculture.arkansas.gov
CaliforniaCalifornia Department of Food and Agriculturecdfa.ca.gov
ColoradoColorado Department of Agricultureag.colorado.gov
ConnecticutConnecticut Department of Agricultureportal.ct.gov/DOAG
DelawareDelaware Department of Agricultureagriculture.delaware.gov
FloridaFlorida Department of Agriculture and Consumer Servicesfdacs.gov
GeorgiaGeorgia Department of Agricultureagr.georgia.gov
HawaiiHawaii Department of Agriculturehdoa.hawaii.gov
IdahoIdaho State Department of Agricultureagri.idaho.gov
IllinoisIllinois Department of Agricultureagr.illinois.gov
IndianaIndiana State Department of Agriculturein.gov/isda
IowaIowa Department of Agriculture and Land Stewardshipiowaagriculture.gov
KansasKansas Department of Agricultureagriculture.ks.gov
KentuckyKentucky Department of Agriculturekyagr.com
LouisianaLouisiana Department of Agriculture and Forestryldaf.state.la.us
MaineMaine Department of Agriculture, Conservation and Forestrymaine.gov/dacf
MarylandMaryland Department of Agriculturemda.maryland.gov
MassachusettsMassachusetts Department of Agricultural Resourcesmass.gov – MDAR
MichiganMichigan Department of Agriculture and Rural Developmentmichigan.gov/mdard
MinnesotaMinnesota Department of Agriculturemda.state.mn.us
MississippiMississippi Department of Agriculture and Commercemdac.ms.gov
MissouriMissouri Department of Agricultureagriculture.mo.gov
MontanaMontana Department of Agricultureagr.mt.gov
NebraskaNebraska Department of Agriculturenda.nebraska.gov
NevadaNevada Department of Agricultureagri.nv.gov
New HampshireNew Hampshire Department of Agricultureagriculture.nh.gov
New JerseyNew Jersey Department of Agriculturenj.gov/agriculture
New MexicoNew Mexico Department of Agriculturenmdeptag.nmsu.edu
New YorkNew York State Department of Agriculture and Marketsagriculture.ny.gov
North CarolinaNorth Carolina Department of Agriculture and Consumer Servicesncagr.gov
North DakotaNorth Dakota Department of Agriculturendda.nd.gov
OhioOhio Department of Agricultureagri.ohio.gov
OklahomaOklahoma Department of Agricultureag.ok.gov
OregonOregon Department of Agricultureoregon.gov/oda
PennsylvaniaPennsylvania Department of Agricultureagriculture.pa.gov
Rhode IslandRhode Island Department of Environmental Managementdem.ri.gov
South CarolinaSouth Carolina Department of Agricultureagriculture.sc.gov
South DakotaSouth Dakota Department of Agriculture and Natural Resourcesdanr.sd.gov
TennesseeTennessee Department of Agriculturetn.gov/agriculture
TexasTexas Department of Agriculturetexasagriculture.gov
UtahUtah Department of Agriculture and Foodag.utah.gov
VermontVermont Agency of Agriculture, Food and Marketsagriculture.vermont.gov
VirginiaVirginia Department of Agriculture and Consumer Servicesvdacs.virginia.gov
WashingtonWashington State Department of Agricultureagr.wa.gov
West VirginiaWest Virginia Department of Agricultureagriculture.wv.gov
WisconsinWisconsin Department of Agriculture, Trade and Consumer Protectiondatcp.wi.gov
WyomingWyoming Department of Agriculturewyagric.state.wy.us

Additional authoritative resources:

How Herdshare Programs Are Used in States with Raw Milk Restrictions

In some states where direct raw milk sales are restricted, herdshare programs may provide a framework through which consumers can access raw milk. Because laws vary significantly by state, farms should consult their state’s Department of Agriculture and a qualified attorney before establishing a herdshare program.

The legal distinction is important. A herdshare member is not buying milk. They own a share of your herd and are receiving the products of their own animal. The farm is providing a boarding and care service – for which the member pays an agistment fee – not selling a dairy product.

For a full explanation of how herdshare programs work and how to structure one correctly, read our guide:

What a Strong Herdshare Contract Should Include

The contract is the foundation of any herdshare program. A weak or missing contract leaves your farm exposed. Here is what a strong herdshare agreement should include:

  • Ownership documentation – clearly stating the member owns a defined share in the herd
  • Agistment fee schedule – documenting the recurring fee for care and boarding
  • Member responsibilities – outlining what the member’s ownership entails
  • Farm responsibilities – what care the farm provides on the member’s behalf
  • Milk share entitlement – what portion of milk the member receives as a product of their animal
  • Acknowledgment of ownership – member’s signed confirmation that they understand they are an owner, not a buyer

Have your contract reviewed by a farm attorney before your program launches. It is a one-time cost that protects your operation for years.

What Compliance Looks Like on a Working Farm

Understanding the law is one thing. Running a compliant dairy or herdshare program day-to-day is another.

If you run on-farm sales:

  • State dairy license or permit obtained and current
  • Proper labeling on all raw milk containers
  • Regular milk testing as required by your state
  • Sales recorded and receipts provided
  • No delivery or off-farm transportation unless your state explicitly permits it

If you run a herdshare program:

  • Signed herdshare contracts stored for every member
  • Agistment fees billed and recorded separately from any other farm sales
  • Members’ milk kept separate from general farm store inventory
  • Delivery routes and cut-offs managed within your state boundaries
  • Membership validity dates tracked and renewals handled before expiry

Managing all of this manually on spreadsheets works for a small number of members. As your program grows, tracking contracts, billing, and compliance documentation becomes a real operational challenge.

How Farms Manage Herdshare Compliance at Scale

The farms that run herdshare programs smoothly at 30, 50, or 100 members are not doing it with spreadsheets. They have systems in place that keep contracts filed, billing automated, and member records clean.

All-in-one farm delivery software for orders, routes, billing, and herdshare. Built for farms. Not generic software. A Smarter Way to Deliver Raw Milk. Features are,

  • Membership Management – track all herdshare members, validity dates, expiry, and entitlements in one place
  • One-Time and Agistment Fees – collect the buy-in fee at signup and manage ongoing agistment fees billed weekly
  • Recurring Billing – automate fees on monthly, quarterly, half-yearly, or annual schedules with no manual invoicing
  • Payment Gateways – process secure payments via Authorize.net and Stripe with tokenized cards on file and reconciliation reports
  • Membership Product Rules – automatically add required products like weekly milk when a membership is activated, members cannot skip or remove them
  • Herdshare Contracts – publish contract templates on your website and store signed agreements under each member profile
  • Private Membership Website – restrict herdshare milk to active members only while selling other products publicly
  • Customer Dashboard – members manage their own billing, vacation holds, recurring items, delivery schedules, and order history
  • Wholesale and Retail Pricing – set different pricing, minimum order quantities, and delivery fees by customer type
  • In-Store Credit – handle refunds and adjustments with credits applied to future orders
  • Route-Based Cut-Offs and Delivery Scheduling – set route-specific cut-off times and manage multiple pickup or drop-off points
  • SMS Reminders – automated text notifications for pickups, schedule changes, and important updates

Frequently Asked Questions: Raw Milk Laws

Is raw milk legal in the United States?

 Raw milk is legal for intrastate sale in approximately 30 states in some form – retail, on-farm, or through herdshare programs. Federal law prohibits the sale and transportation of raw milk across state lines. Rules vary significantly by state. Check your state’s Department of Agriculture for current rules.

What is the federal law on raw milk?

 In 1987 the FDA issued a regulation prohibiting the interstate sale of raw milk for human consumption. The FDA does not regulate intrastate raw milk sales – that is left entirely to individual states to decide.

What is the difference between raw milk and pasteurized milk legally?

Pasteurized milk is regulated under federal and state food safety standards and can be sold across state lines. Raw milk is regulated entirely by individual states for intrastate sale. Federal law prohibits raw milk from crossing state lines regardless of state law.

Are herdshares legal in my state?

Herdshare treatment varies by state. Some states have laws, regulations, or legal precedents addressing herdshare arrangements, while others may restrict or prohibit them. Always verify current requirements with your state’s Department of Agriculture and a qualified attorney.

What is an agistment fee in a herdshare program?

An agistment fee is the recurring payment a herdshare member pays for the farm to care for their animal – covering feed, housing, and labor. It is charged separately from the one-time buy-in fee paid at membership signup.

What should a herdshare contract include?

A herdshare contract should document member ownership of a share in the herd, the agistment fee schedule, the farm’s care responsibilities, the member’s milk entitlement, and the member’s acknowledgment that they are an owner rather than a buyer. It should be reviewed by a farm attorney familiar with your state’s laws.

How do farms manage herdshare compliance as they grow?

Most farms start with spreadsheets but move to dedicated herdshare management software as their member count grows. Smart FDS handles contract storage, recurring billing, membership tracking, and delivery scheduling in one place.

Where can I find current raw milk laws for my state?

The most reliable sources are your state’s Department of Agriculture website and the Farm-to-Consumer portal raw milk map at farmtoconsumer.org. Both are updated as laws change.

The Bottom Line for Farm Owners

Raw milk laws are complicated and state-specific. What is legal in one state may not be legal in another. The farms that run into problems are usually the ones operating without signed contracts, without proper permits, or without the documentation to prove ownership in a herdshare arrangement.

Get your contracts in order. Know your state’s current rules. And if your program is growing to the point where spreadsheets are not cutting it anymore, look at what dedicated software can do for your operation.

See how farms like yours manage herdshare programs, billing, and delivery without the admin burden.

Disclaimer: This article is for educational purposes only. Smart FDS is not a legal authority on raw milk laws. Information reflects publicly available data at the time of writing. Laws in your state may have changed. Do not rely on this article as legal advice. Always consult your state Department of Agriculture or a qualified farm attorney before making any decisions.