INDUSTRIAL LICENSE IN UAE – WIDE RANGE OF BUSINESS ACTIVITIES

The Industrial License encompasses a diverse array of business activities. Please note that the list provided below is not exhaustive:

•   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

To obtain an Industrial License in Dubai, it is imperative to have a physical premise as virtual offices are not allowed. Additionally, manufacturing companies with an Industrial License must also hold a Trade License to sell their products within the UAE or internationally.

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.)

THE REQUIREMENT OF CERTIFICATE OF ORIGIN (CO) FOR IMPORT OF GOODS IN THE UAE

The Certificate of Origin (CO) is a crucial document required by the importing country. It serves as a declaration of the countries involved in the production or manufacturing process of exported products.

This document is indispensable for every trader and is issued by the Chamber of Commerce in the country of origin. Importing countries rely on the Certificate of Origin to calculate import duties, provide preferential treatments if applicable, and assess the legality of the goods.

Moreover, it plays a vital role in regulating the entry of unauthorized goods that are internationally prohibited. By ensuring accurate information and adherence to regulations, the Certificate of Origin contributes to the smooth flow of international trade.

DUBAI’S CERTIFICATE OF ORIGIN REGULATIONS

Dubai Customs strictly follows the Common Custom Law of the GCC region, ensuring compliance with regulations. Article 25 of this law outlines the requirement for proof of origin for imported goods, emphasizing adherence to international and regional economic agreements. The Government of Dubai upholds two distinct rule of origin systems.

PREFERENTIAL CERTIFICATE OF ORIGIN

The Certificate of Origin grants traders the advantage of reduced customs duties and other rates. It also provides special privileges, such as reduced import fees, for traders when shipping goods from Free Trade member countries.

Obtaining a Certificate of Origin is crucial to benefit from preferential duty treatment under a Free Trade Agreement (FTA). The UAE has entered into various Free Trade agreements, including the GCC Customs Union, Greater Arab Free Trade, European Free Trade Association, and the GCC-Singapore FTA.

To avail the customs duty exemptions for imported goods from member states of these FTAs, it is necessary to submit a Certificate of Origin to customs with each shipment. This document ensures compliance and facilitates smooth customs clearance.

NON-PREFERENTIAL

The Certificate does not offer any advantage to the trade.

WHY CERTIFICATE OF ORIGIN IS AN ESSENTIAL DOCUMENT?

•   Confirming the origin of the goods helps in identifying if the shipment requires preferential treatment
•   Collecting trade information to create reforms and future trade policies
•   Adhering to trademark laws and compliance by identifying the country of origin
•   Streamline goods procurement by knowing the country of origin and corresponding import taxes

HOW TO APPLY FOR A CERTIFICATE OF ORIGIN?

•   Submit the copy of trade license to state the business activity and other trade details (company name, location, company legal form, license validity, etc.)
•   Provide the invoice or related materials that show the manufacturing location of the products
•   Submit the duly-filled in the Certificate of Origin form and supporting documents.
•   Obtain your Certificate of Origin post the assessment and fee payment from the respective Chamber of Commerce in your emirate where you operate the business.

For comprehensive information on obtaining an Industrial License and Certificate of Origin for your export business, consult our team of expert Business Consultants. They possess the knowledge and expertise to guide you through the process with ease. Reach out to us today to explore new opportunities and maximize your business potential.