How to Start a Manufacturing Business in Dubai?

They create massive employment opportunities, produce the products society needs, contribute greatly to the country’s economy and promote stronger inter-industry and inter-sectoral linkages, strengthen productivity, technological development and innovation. We have a thing for manufacturers and producers! And so does the UAE. The country sees the expansion of the industrial sector as a strategically significant goal for the sustained long-term success of the national economy. And UAE’s economic diversification plan UAE Vision 2021, Abu Dhabi Economic Vision 2030 and Dubai’s Industrial Strategy 2030 back up the statement. The industry has already created so far around a third of total employment within the UAE, which comes to over two million individuals. Furthermore, the anticipated growth of 51%, 56% and 34% in the industrial sector of Dubai, Abu Dhabi and the UAE respectively by 2027 is a dead giveaway that you can strike gold by investing in this high-potential sector. No wonder, a slew of entrepreneurs from almost every corner of the world flock to Dubai to set up a factory or manufacturing unit here. If you too are looking to set up a manufacturing business in Dubai, then take your first step with us right away, right here, i.e., know the process of acquiring the industrial licence, which is the fundamental prerequisite of establishing a manufacturing company in the UAE. There you go!

The major products that are manufactured in the UAE

Some of the most profitable manufacturing businesses in the UAE can be:

  • Textile and ceramic goods
  • Bakery Items
  • Food & beverage items
  • Petroleum Products
  • Construction material
  • Automobile & spare parts
  • Packaging materials
  • Metal components
  • Chemical products
  • Medicine & healthcare products
  • Electronic equipment & appliances
  • Plastic and polymers
  • Recyclable products like paper, metal scrap, etc.

The process to obtain the manufacturing business licence in Dubai

Setting up a manufacturing business in Dubai free zones is simple and offers myriad benefits. With a Dubai free zone-licenced manufacturing company, you don’t have to pay any sort of customs duties on machinery and equipment. At first blush, starting a manufacturing company seems like a hard nut to crack. But once you initiate the process of obtaining the manufacturing licence, with every step your destination appears closer. And if you are working with an experienced business setup advisor in Dubai such as Adam Global, the journey becomes a lot easier and faster. No matter what way you choose to acquire your industrial licence to operate in the UAE, knowing the step-by-step procedure is extremely helpful.

Eligibility Criteria for Manufacturing Licence in Dubai

To be eligible for a manufacturing or industrial licence in Dubai, UAE, you must:

  • Have adequate commercial premises and tenancy agreement
  • Have at least AED 250,000 capital to invest
  • Employ not less than 10 individuals
  • Be able to produce a report detailing the specifics of your factory, including information about tools, finances and floor plans. However, for a free zone manufacturing company formation, you don’t need this setup
  • Have conducted a feasibility study and market analysis
  • Attain specific approvals from external authorities in Dubai to conduct certain types of business activities in Dubai, UAE

Process of incorporating a manufacturing business in Dubai

Step 1: Determine the business jurisdiction, location for the office, warehouse and manufacturing unit, type of manufacturing activity, company’s legal entity and trade name.

Step 2: Acquire the initial approval from the chosen jurisdiction

Step 3: Reserve the business name and receive the certificate

Step 4: Rent the commercial space and get the lease documents

Step 5: Prepare the set of required documents, including:

  • Detailed business plan
  • Duly filled-in trade licence application form.
  • The production plant layout design
  • Process flow chart
  • List of needed equipment and machinery
  • Copy of the applicant’s passport and visa
  • Commercial lease documents (RERA attested)
  • Initial approval certificate
  • Trade name reservation proof
  • Additional approvals (if applicable)

Step 6: Submit all the required documents along with the completed trade licence application to the authority in charge of the selected jurisdiction.

Step 7: Pay the application fees and collect the issued industrial licence

Step 8: Recruit at least 10 workers to start with

Step 9: Apply for visas – for yourself and your employees, family and dependents

Step 10: Open a corporate account with a bank in Dubai

Step 11: Purchase business insurance, necessary equipment as mentioned in the plan, inventory, etc., and get going

Step 12: Participate in trade fairs to market and showcase your products and to find authentic wholesalers, distributors, exporters, dropshippers, and suppliers to reach the UAE market

Meet Adam Global for manufacturing company licence assistance in Dubai

Adam Global Dubai Business Setup Services experts can help you in acquiring a relevant manufacturing licence and setting up your manufacturing business right from scratch. With our Dubai business advisors by your side, you will be able to set up your manufacturing unit in Dubai’s most rewarding free zone within your budget. Plus, they will also guide you in saving your valuable resources during the course. Book a free consultancy with our manufacturing business formation experts in Dubai to share your requirements and know why you would want to choose us to be a part of your entrepreneurial journey in Dubai.

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