Retail exemption allows a meat processor to sell meat at its own retail storefront without developing a HACCP plan or being inspected daily by USDA FSIS. However, the processor is still subject to periodic, risk-based inspection by USDA FSIS and/or state and county authorities (e.g. county health departments). In addition, the meat used to produce retail products (fresh cuts or processed meats) must come from livestock inspected by USDA FSIS or the state inspection agency in the processor's own state.
A retail-exempt processor can also sell a limited amount of product on a wholesale basis to hotel, restaurant, or institutional customers, as long as the product has NOT been cooked, cured, smoked, rendered, refined, or otherwise processed in a manner not listed in 9 CFR 303.
Retail-exempt wholesaling is limited to 25% of the dollar value of the processor's total sales.