Industrial License in UAE
Industrial License is an essential business license category in the UAE. By obtaining an Industrial License in the UAE, the entrepreneurs can conduct manufacturing and industrial activities. There are several subcategories of business activities under the manufacturing and industrial license in UAE.
Often industrial license requires large capital investment and land area to construct warehouses, large and small manufacturing units, etc. Ranging from steel manufacturing to cement production, there is a long list of business activities under the Industrial license in UAE.
There is immense potential for industrial activities in the UAE. The manufacturing sector is poised for rapid growth in the coming years. There are multiple options for entrepreneurs when it comes to taking an Industrial License in UAE.
UAE has a robust business infrastructure with world-class office facilities and a transport network connecting the world's cities daily via air, sea, and land. Investors can choose from a wide range of business activities and company setup packages to establish an industrial unit in the UAE.
Industrial License in UAE - Wide Range of Business Activities
The Industrial License in UAE will help entrepreneurs conduct business in a wide range of activities related to manufacturing. The Dubai Economy has placed certain fire & safety guidelines to adhere and the Dubai Municipality will conduct a site inspection to ensure the overall safety of the premises.
The Mainland of UAE and a few Free Trade Zones such as Sharjah Airport Free Zone, Hamriyah Free Zone, RAKEZ, etc., provide Industrial License for entrepreneurs. The Free Zones are dedicated Warehouses and Land Areas for the entreprenuers and it all comes as a comprehensive package.
Under the Industrial License, there is a wide range of business activities such as (below list is not an exhaustive list):
- Adhesive & paper manufacturing
- Casting of Metals
- Books Binding
- Cards & Envelop Printing
- Food & Beverage Manufacturing
- Magnetic Technology Equipment Manufacturing
- Metal Products Coating
- Safety Harness Fabrication
- Oil & Petroleum Processing
- Metallurgical Engineering
- Steel Manufacturing
- Many more...
All business activities in the lines of fabrication, preparation, production, or manufacturing of goods in the UAE require an industrial license to be commissioned, produced, and distributed in the region and abroad.
Requirements to get an Industrial License in Dubai
For obtaining an Industrial License in Dubai it is essential to take a physical premise - virtual offices are not permitted. The Industrial License for manufacturing companies must also have a Trade License to sell the items in the UAE or abroad.
Depending on the Manufacturing Activity, there are mandatory safety checks to be conducted on the premises by the Dubai Municipality. Having a robust Fire and Safety unit is an essential component in every manufacturing unit.
A detailed floor plan of the Manufacturing Unit must be submitted to the Licensing Authority (Dubai Economy) and the Dubai Municipality. All Safety Hazards, Fire Exits, Electrical Wirings, Response Management Systems, Industrial Automation, etc., must be validated by the respective authorities before beginning the operations.
Having a comprehensive business plan for the manufacturing unit is an optional requirement by Dubai Economy. For a few business activities under the industrial license, the authorities will require a detailed business plan for review.
Industrial License from the Mainland of Dubai - Dubai Economy
- Industrial License are required to have special approvals from Dubai Municipality (Planning Department, Civil Defence, other Government Offices as per the activities)
- Enables the company to assemble, redesign/re-package goods using local or imported natural or man-made raw materials.
- Wide range of business activities ranging from oil and petroleum processing, metallurgical engineering, steel manufacturing, etc.
- Mandatory to own a physical office in the mainland of Dubai. Also, must have a manufacturing facility, warehouse, labor camps, etc., to support the business operation.
- Own 100% of the company shares as a foreign investor and no requirement of a local UAE Sponsor.
Documents Required for Obtaining an Industrial License
- Copy of passport and resident visa of the foreign owners
- A detailed report of the factory and warehouse requirements
- An assessment study of the proposed business plan and method of operation
- Financial estimates and copy of balance sheet
- copy of approved trade license for selling of the goods
- Required approvals from the Municipality, Government authorities, and Ministries (Ministry of Economy, Ministry of Labour, Ministry of Electricity & Water, etc.)
Start a Manufacturing Company in Dubai
Manufacturing business is one of the major segments in the Industrial sector in UAE. To set up a manufacturing unit in Dubai, the entrepreneurs must choose the list of business activities they wish to conduct business in and apply for an Industrial License in UAE.
The Dubai Economy is the licensing authority for issuing the industrial license for setting up a manufacturing unit. Many manufacturing activities have immense growth potential in Dubai, UAE.
Food and Beverage Manufacturing, Adhesives and Paper Manufacturing, and building materials manufacturing are popular manufacturing activities in Dubai. The Industrial Areas of Dubai offer the perfect location for setting up the warehouse and manufacturing unit. The availability of cheap labour is another major advantage for business owners to establish a large manufacturing unit in Dubai.
Cost of Industrial License in Dubai
The Cost of a Industrial License in Dubai mainland starts from around AED 28,000 for the License fee. Depending on the warehouse or land area, the rent of the manufacturing unit will vary. There are free-hold commercial areas in Dubai such as Dubai Investment Park where business owners can buy or lease land and establish their manufacturing facility.
Similarly, in the Industrial areas of Dubai, there will be ready-to-occupy warehouses and manufacturing units that can be rented by the business owners. Based on the business activity, warehouse location, and floor area, the rent will vary.
To know more about ways to obtain an Manufacturing License as well as Certificate of Origin for your export business, talk to our expert Business Consultants.
