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Dairy program
Activities that require a dairy license
A license is required for the following activities:
  1. To produce milk on a Grade A dairy farm
  2. To market milk as a milk marketing agent or handler for producers
  3. To transport milk in a milk tanker or transfer milk to a transfer or receiving station
  4. To process milk to manufacture any fluid milk or dairy products, including the wholesale manufacture of frozen dairy desserts (as defined in 21CFR Part 135 )
Dairy operator licenses are required for:
  1. Individuals who collect raw milk samples which will be used for regulatory purposes
  2. Individuals responsible for the pasteurization of milk or dairy products
The Pasteurized Milk Ordinance (PMO) is developed by the National Conference of Interstate Milk Shippers (NCIMS) and covers construction and operation standards for all dairy operations including farms, transportaion, processing and pasteurizing. Coompliance with the PMO is requried for plants or farms to ship Grade A milk interstate. The Interstate Milk Shippers List (IMS List) is a list of dairy operations that are approved for interstate milk shipment.
Link to milk safety references 
Link to Pasteurized Milk Ordinance 
Link to Interstate Milk Shippers List​
Link to Oregon State University Extension Service's Dairy Program

Activities that are exempt
The dairy law exempts from licensing a person owning not more than three dairy cows that have calved at least once, nine sheep that have lactated at least once or nine goats that have lactated at least once. The fluid milk from these animals may be sold for human or other consumption only if:
  1. The person does not advertise the milk for sale
  2. The milk is sold directly to the consumer at the premises where produced; and
  3. No more than two producing dairy cows, nine producing sheep or nine producing goats are located on the premises where the milk is produced.

Prohibited activities
Prohibition against retail sale of unpasteurized milk from cows (unless meeting the limits of the above exemption).
A person may not sell or distribute for sale unpasteurized milk or fluid milk from cows, or dairy products from unpasteurized milk or fluid milk from cows, other than to a distributor, producer-distributor, dairy products plant licensee or nonprocessing cooperative. This does not apply to the sale or distribution of cheese otherwise exempt from pasteurization requirements or to sales or distributions by a person described under ORS 621.012.
Distributor or producer-distributor may sell only milk that is pasteurized or from disease-free goats or sheep.
A distributor, producer-distributor or dairy products plant licensee shall not sell or offer or expose for sale any dairy product or fluid milk for human consumption unless the milk used in the dairy product or fluid milk has been pasteurized or is goat or sheep´s milk that was produced by a disease-free herd, except that if not more than one reactor animal appears when the goat or sheep herd is tested for brucellosis, the milk, dairy products or fluid milk may still be sold if the animal is slaughtered and no additional reactor animals appear when the herd is retested. If one or more reactor animals appear when the herd is retested, no milk, dairy products or fluid milk from the herd may be sold until the herd regains a brucellosis-free status.

Dairy license information
State licenses web site describes license type, references statute and rule, lists responsible agency and links to licensing prerequisites.
Link to state licenses web site:
Dairy license type 02 - dairy-fluid milk producer
Dairy license type 03 - dairy producer-distributor grade A
Dairy license type 04 - dairy producer-distributor grade B
Dairy license type 05 - dairy-fluid milk distributor
Dairy license type 06 - dairy non-processing distributor grade A
Dairy license type 07 - dairy non-processing distributor grade B
Dairy license type 17 - dairy wholesale frozen dessert manufacturer
Dairy license type 18 - dairy operator-HTST pasteurizer
Dairy license type 18 - dairy operator-milk sampler/grader
Dairy license type 18 - dairy operator-vat pasteurizer
Dairy license type 19 - dairy products - plant
Dairy license type 19 - dairy-milk marketing association
Dairy license type 20 - dairy-contract milk hauler
Licensing information on issuing a food license, preliminary inspections, multiple activities covered by one statute, transferring licenses and interagency agreements in Oregon. Inspection information on regular or routine inspections, initial inspections and other types of inspections.
Licensing and inspections