How to Import & Export Goods in UAE?

Sharjah Airport International Free Zone (SAIF Zone) stands out as the top choice for trading and export companies, particularly those involved in export, import, and re-exports within the UAE. This designated zone (VAT Free Zone) boasts an in-house customs checkpoint, ensuring seamless clearance of shipments. Its strategic proximity to Sharjah airport further cements its position as the preferred hub for air freight forwarding companies, international distribution firms, and trading enterprises seeking easy access to global markets.

What makes SAIF Zone the top choice for establishing a trading company?

The SAIF Zone boasts a well-established infrastructure that caters to a diverse range of business needs, providing everything from shared office spaces to expansive manufacturing units. Situated in close proximity to the bustling Khalid port, as well as the Khorfakkan Port and Hamriyah Port, two other deepwater ports, it facilitates efficient and streamlined trading operations. SAIF Zone offers a multitude of business benefits, including operational efficiency, cost reduction, and access to international markets.

Additionally, the process of setting up a Trading Company for import-export activities in SAIF Zone is hassle-free and straightforward. With its cost-effective Trade License packages, office spaces, and warehouse facilities, SAIF Zone presents itself as the ideal choice for establishing a company in the UAE.

How do import-export companies operate in the UAE?

To establish and effectively run an Import Export Company anywhere in the world, it is crucial to have a comprehensive understanding of the local import and export tax regulations, customs duties, and other relevant taxation norms. In the UAE, there are two primary business jurisdictions for company formation: The Mainland and Free Zone, each offering distinct characteristics and unique business advantages. For Trading Companies, particularly those involved in international import, export, and trading, the Free Zones provide the ideal environment to facilitate seamless operations in global markets.

How do Free Zones in the UAE streamline international trading?

The Free Zones in the UAE provide a compelling proposition for international trading companies. They offer a range of benefits, including zero customs duty on imports, convenient proximity to busy airports and seaports, and excellent road connections to major business centers and consumer markets across the UAE and Oman. With well-established logistics, storage facilities, and transportation networks, these Free Zones provide an ideal environment for facilitating faster and more efficient trade operations.

What exactly are Designated Free Zones?

A VAT Free Zone, as designated by the UAE Cabinet decision, refers to a specific area where VAT is not applicable. These designated Free Zones are considered exempt from VAT regulations.

In the UAE, the Designated Free Trade Zones are where companies engaged in trading are either charged VAT at a rate of ‘Zero Percent’ or are not required to make any VAT payments.

Certain conditions must be met to classify a transaction as VAT free.

Please note that this revised version aims to enhance the writing quality, word choice, structure, readability, and eloquence while retaining the original meaning.

Designated Zone Lists in UAE

• Free Trade Zone of Khalifa Port (Abu Dhabi)
• Abu Dhabi Airport Free Zone
• Khalifa Industrial Zone (Abu Dhabi)
• Jebel Ali Free Zone – North-South (Dubai)
• Dubai Cars and Automotive Zone(DUCAMZ)
• Dubai Textile City
• Free Zone Area in Al Quoz (Dubai)
• Free Zone Area in Al Qusais (Dubai)
• Dubai Aviation City
• Dubai Airport Free Zone
• Hamriyah Free Zone (Sharjah)
• Sharjah Airport International Free Zone (Sharjah)
• Ajman Free Zone
• Umm Al Quwain Free Trade Zone in Ahmed Bin Rashid Port
• Umm Al Quwain Free Trade Zone on Sheikh Mohammed Bin Zayed Road
• RAK Free Trade Zone
• RAK Maritime City Free Zone
• RAK Airport Free Zone
• Fujairah Free Zone
• FOIZ (Fujairah Oil Industry Zone)

Designated Zone’s movements of Goods for VAT treatment:

FROM	TO	VAT Treatment
Designated Zones	Designated Zones	Non-Taxable
Designated Zones	Mainland	Taxable (5% UAE VAT)
Mainland	Designated Zones	Taxable (5% UAE VAT)
Designated Zones	Foreign Countries/GCC Countries	Non-Taxable
Foreign Countries/GCC Countries	Designated Zones	Non-Taxable

Necessary Documentation for Importing and Exporting Goods in Free Zones

Importing goods from foreign countries/outside the UAE to a free zone:

1. Bill of Lading/Custom Bill (Air Way Bill or Bill from Terminal of Arrival)

2. Supplier’s Invoice

3. Packing Lists/Delivery Note

4. Bill of Entry (Free Zone Customs Form) to be completed upon goods’ arrival.

These documents ensure proper documentation and efficient customs clearance processes.

Importing Goods to Free Zone from Mainland:

• Suppliers Invoice
• Packing Lists/Delivery Note
• Bill
• Customs Form (Bill of Entry) to be completed upon goods arrival in the Free Zone

Exporting Goods from Free Zone to Foreign Countries/Outside the UAE.

• Bill of Entry
• Suppliers’ Invoice
• Customer Invoice
• Packing Lists or Delivery Note
• Bill of Exit (Free Zone Customs Form) to be completed when goods are being exported.

Exporting Goods from a Free Zone to Mainland:

• Bill of Entry
• Suppliers Invoice
• Customer Invoice
• Packing Lists / Delivery Note
• Bill of Exit (Free Zone Customs Form) to be completed when goods are being exported.

Please note that exporting goods to Mainland distributors is not mandatory, as it depends on the agreement between the supplier and customer. A 5% duty is imposed on goods imported from abroad, excluding goods in transit to GCC countries. However, the duty may vary for certain goods based on the tariff. Goods originating from GCC countries are considered local goods in the UAE, provided that 40% of the raw materials used in their manufacturing are sourced from the GCC.

Import Operations through Sharjah Port – Key Points to Consider

If the Import Operations are processed through Sharjah Port, the necessary documents will include:

1. Delivery Note

2. Packing Lists

3. Original Invoice from Supplier

4. Attested Certificate of Origin

5. Bill of Lading

6. Receipt of Custom Duties/Settled Payment

7. Inspection Report from Sharjah Port

8. Bill of Entry/Import Declaration

Incomplete submission of the aforementioned documents will require a deposit of AED1000, which can only be refunded upon completion of all required documentation.

Export Operations via Sharjah Port

For Export Operations via Sharjah Port, the required documents are as follows: 

1. Original Invoice

2. Bill of Exit/Export Declaration

If you want to learn more about Designated Free Zones for VAT or starting a trading company in the UAE Free Zones, don’t hesitate to reach out to our expert team today!