Dubai has emerged as a global hub for trade, logistics, and manufacturing. With world-class infrastructure, investor-friendly laws, and access to regional markets, it’s an ideal place to start or expand an industrial business. To operate legally in the manufacturing or production sector, obtaining an industrial license in Dubai is essential.
This license allows companies to produce, assemble, or process goods within the UAE and distribute them locally or internationally.
Let’s look at what an industrial license is, how to apply for one, what documents are required, and the benefits of getting one.
What is an Industrial License?
An industrial license is an official permit issued by the Department of Economy and Tourism (DET) in Dubai. It authorises businesses to carry out industrial and manufacturing activities such as processing raw materials, producing finished goods, assembling products, or packaging and distributing manufactured items.
This license is mandatory for any business involved in large-scale production or transformation of materials, whether it’s a food processing unit, machinery assembly plant, or textile factory. It also allows investors to import raw materials, manufacture products locally, and export finished goods.
Key Activities Covered Under an Industrial License
Companies that hold an industrial license in Dubai can engage in activities like:
- Manufacturing and assembling machinery or equipment
- Processing or refining raw materials
- Producing textiles, garments, and packaging materials
- Food and beverage production
- Chemical and plastic manufacturing
- Metal fabrication and related engineering works
- Paper, furniture, or electronic goods production
The license can be used by both local and international investors who wish to establish an industrial base in the UAE.
Who Issues the Industrial License?
In Dubai, the Department of Economy and Tourism (DET) issues the industrial license. However, some approvals may also be required from other government bodies, such as:
- Dubai Municipality – for building permits and environmental approvals
- Dubai Civil Defence – for safety and fire compliance
- Ministry of Human Resources and Emiratisation – for employee-related matters
- Dubai Electricity and Water Authority (DEWA) – for utilities and infrastructure setup
For certain specialised industries like pharmaceuticals, chemicals, or food production, additional clearances from federal or local authorities may also be necessary.
Process to Obtain an Industrial License in Dubai
Getting an industrial license in Dubai involves several steps, but with proper guidance, it can be completed efficiently. Here’s a simple breakdown of the process:
1. Choose a Business Activity
Identify the type of industrial activity you want to carry out, for example, metal fabrication, food processing, or electronics manufacturing. The activity must be listed under Dubai’s approved industrial activities.
2. Select a Business Name and Structure
Choose a trade name for your company and decide the legal structure, such as LLC (Limited Liability Company) or a branch of a foreign company. Make sure the name complies with Dubai’s naming regulations.
3. Choose a Business Location
Industrial activities require physical premises like factories or warehouses. Choose a location in an industrial area such as Dubai Industrial City, Al Quoz, or Jebel Ali Industrial Area. The premises must meet safety and zoning requirements.
4. Obtain Initial Approval
Apply for initial approval from the Department of Economy and Tourism. This confirms that the government has no objection to your business and activity.
5. Prepare Required Documents
Submit all required documents, including passport copies, tenancy contracts, and the memorandum of association. A detailed list is given below.
6. Get External Approvals
Depending on your industrial activity, you may need approval from Dubai Municipality, Civil Defence, or other authorities related to environmental and safety standards.
7. Apply for the License
Once all approvals are obtained, submit your completed application along with the required documents to DET. After verification, your industrial license in Dubai will be issued.
Documents Required for an Industrial License
To apply for an industrial license in the UAE, the following documents are typically required:
- Application form issued by DET
- Copy of passport, residence visa, and Emirates ID (if applicable) of shareholders
- Memorandum of Association (MOA)
- Tenancy contract or Ejari for the industrial premises
- Layout plan or site blueprint of the factory or warehouse
- Approval from Dubai Municipality and Civil Defence
- Feasibility study or business plan outlining industrial activity
- List of machinery and equipment to be used
- NOC from existing sponsor (for foreign investors, if applicable)
- Payment receipt for initial approval
Having these documents ready helps streamline the application process and avoid unnecessary delays.
Benefits of Obtaining an Industrial License in Dubai
Getting an industrial license offers several advantages to entrepreneurs and investors in Dubai, including:
1. Full Legal Recognition
It allows businesses to legally operate in manufacturing, production, or industrial processing within Dubai and across the UAE.
2. Import and Export Privileges
License holders can import raw materials for production and export finished goods globally, leveraging Dubai’s logistics strength.
3. Access to Advanced Infrastructure
Dubai offers state-of-the-art industrial zones with easy access to ports, airports, and major highways, making logistics and supply chain management more efficient.
4. Investor-Friendly Environment
Dubai’s transparent regulations, quick setup procedures, and supportive government policies create a business-friendly atmosphere.
5. 100% Ownership in Free Zones
Investors can enjoy complete ownership if they choose to set up in a free zone such as Dubai Industrial City (DIC), JAFZA, or Dubai Silicon Oasis.
6. Strategic Location
Dubai’s position as a global trade gateway provides access to markets across the Middle East, Africa, Asia, and Europe.
7. Tax Advantages
Businesses benefit from low taxation policies and double-taxation avoidance treaties with several countries, supporting international expansion.
8. Access to Skilled Workforce
The UAE’s diverse and skilled labour pool enables companies to hire qualified professionals in various manufacturing and engineering sectors.
Renewal of Industrial License
Industrial licenses in Dubai are typically valid for one year and must be renewed annually. To renew, the business must ensure all compliance requirements are met, including valid lease contracts, safety approvals, and updated employee data. Renewal can usually be done through the DET or through authorised service providers.
Setting up an industrial business involves several procedures, documentation, and coordination with multiple authorities. That’s where Vista Business Setup can help.
From selecting the right industrial zone to preparing documents and obtaining government approvals, Vista’s team ensures a smooth and hassle-free licensing process. Whether you’re a new investor or expanding your operations, Vista helps you secure your industrial license in Dubai efficiently, so you can focus on building your business.
Disclaimer: The information provided in this article is for general informational purposes only and may be subject to change based on UAE regulations. Readers are advised to verify details with relevant authorities or consult a professional business setup advisor before making any decisions.