The specific exclusion is: Minimally processed prepared food as defined in paragraph (4) of subdivision (a) of Section 49015 of the Food and Agricultural Code, which may include foods in a variety of forms, including, but not limited to, whole, cut, sliced, diced, canned, pureed, dried, and pasteurized.
and that bit of Section 49015 says:
(4) “Minimally processed prepared food” may include any food prepared using either of the following processes:
(A) Traditional processes used to make food edible or to preserve it or to make it safe for human consumption, for example, smoking, roasting, freezing, drying, and fermenting.
(B) Physical processes that do not fundamentally alter the raw product or that only separate a whole, intact food into component parts, for example, grinding meat, separating eggs into albumen and yolk, and pressing fruits to produce juices.