For all manufacturing and industrial activities conducted in the UAE, an Industrial License is essential. Several business activities fall under the industrial license. Most of them are in the manufacturing, fabrication, and production sectors in the UAE.
Industrial License in UAE is one of the most in-demand business license categories. Entrepreneurs are aiming to open the business with huge capital investment in UAE by obtaining Industrial license in UAE. It helps them establish industries of large and small scale depending on their business requirements.
UAE has got a robust business infrastructure with world-class office facilities and a transport network connecting the world 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.
Under the Industrial License, there is a wide range of business activities such as (below list is not an exhaustive list):
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.
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.
The Certificate of Origin (CO) is required by the importing country. It is a document that declares the countries involved in the production or manufacturing process of the products bound for exports.
It is a must-have document for every trader and is issued by the Chamber of Commerce in the country of origin. Importing Countries rely on the Certificate of Origin for the import duty calculations, provide preferential treatments if applicable and to assess the legality of the goods.
It also helps in the regulation and entry of unauthorized goods that are prohibited internationally.
Dubai Customs rules are adhering to the GCC's Common Custom Law. The proof of origin of goods was taken from Article 25 of the GCC law.
The Article states, " Imported goods are subject to the proof of origin according to the rules of origin adopted within the framework of the international and regional economic agreements in force".
The Government of Dubai adheres to two types of the rule of origin system:
The Certificate enables the trader for a reduced customs duty and other rates. There are special privileges like a reduced import fee for the trader when shipped goods are from the Free Trade member countries.
The Certificate of Origin is an essential document to obtain the preferential duty treatment under a Free Trade Agreement (FTA).
UAE has entered into a Free Trade agreement such as the GCC Customs Union, Greater Arab Free Trade, European Free Trade Association, and the GCC-Singapore FTA.
To benefit from the customs duty exemptions for imported goods that are belonging to any of the member states of these FTAs, a Certificate of Origin has to be submitted to the customs along with each shipment.
The Certificate does not offer any advantage to the trade.
To know more about ways to obtain an Industrial License as well as Certificate of Origin for your export business, talk to our expert Business Consultants.