Air Cargo business in UAE is at boom driven by the domestic and international demand for goods and services. Dubai being a trade hub is the center for re-packaging, light manufacturing, and export of quality goods.
Air Cargo Business License in Dubai can be obtained from the Mainland or the Free Trade Zones. The Air Cargo Business License from the Dubai Airport Free Zone with a 27 Sq.m office will cost AED 92,665.
It will enable Cargo companies to legally conduct trade consulting, freight forwarding, light manufacturing or warehouse unit leasing, etc. The Air Cargo business includes many activities that are spread across different business license categories.
Depending on the required business the investor can take the specific business license from either service, import-export, or industrial license categories.
Air Cargo Business License in Dubai – Scope
Air Cargo companies facilitate the transfer of small packages, letters, expensive items, etc, via air between countries. They will be handling multiple services such as Air Freight Warehousing, sorting, re-packing, unloading, trade consulting, trade coordination, Cargo Chartering, etc.
Investors can get an Air Cargo Business License in Dubai from the free trade zones depending on the chosen specific business activities.
For example, to provide air cargo consulting and trade coordination, a services license from the Free Trade Zone is the ideal option to keep the cost low.
For opening an Air Cargo Services Company the 10 Sq,m office in DAFZA will be an ideal option. The cost of the Air Cargo Services License from DAFZA including the office space is starting from AED 52,165.
Similarly, for freight forwarding, import-export of goods, warehouse storage, etc., an import-export license is essential along with the Air Cargo handling license.
Furthermore, if the company wants to repackage or manufacture items in its warehouse and then export them to other markets, then an industrial license is required for the same.
Hence, Air Cargo business activities are vast and spread across multiple business license categories. So, depending on the business requirements the right business license must be chosen by the company. It is best to seek the assistance of expert business consultants such as AURION.
Air Cargo License from the Free Zones in Dubai
In Dubai, the Air Cargo License is available in two Free Trade Zones that is the Dubai Airport Free Zone and the Dubai South. The Free Trade Zones in proximity to the Airport will be ideal for obtaining the Air Cargo License.
These Free Zone will be the right choice for setting up an Air Cargo Company to keep the operating cost low. Also to facilitate business operations successfully, having an air cargo company in the Free Zones that are closer to the airport is ideal.
The investors looking at other Emirates for obtaining the Air Cargo Business License, the ideal choice is the Sharjah International Airport Free Zone. It offers a cheaper Air Cargo Business License than the Free Zones in Dubai.
What are the steps in obtaining the Air Cargo Business License in Dubai?
To obtain the Air Cargo Business License in Dubai, the business investor must follow certain steps and require some pre-approvals.
To start with the process of obtaining the Air Cargo Business License, the investor must finalize the trade name and get approval from the Free zone authority.
- Submit the application form and business activity to the Free Zone authority. Also, finalize the company structure depending on the number of shareholders.
- For Air Cargo operations inside the Airport, get special permission from Civil Aviation.
- For vehicle alteration with safety lights, loudspeakers, and other safety equipment get approval from RTA.
- After the confirmation of the business activities, look for the right office space and warehouse requirements. Get the tenancy contract for the office from the Free Zone by paying the rental fee.
- Submit all the required documents, shareholder details, photographs, special approvals from Civil Aviation, RTA, and the tenancy contract to the Free Zone authority.
- Pay the trade license fee to obtain the Air Cargo Business License from the Free Trade Zone in Dubai. Open a corporate bank account for the company using the company documents to facilitate business operations quickly.
Obtaining an Air Cargo License in Dubai will enable the investor to coordinate the air freighting, scheduling of cargo, collection, and sorting of goods for shipment, and more. There are many sub-activities for the Air Cargo handling company to perform.
There is an immense growth opportunity in the Air Cargo business as the demand for Air Cargo shipments across countries is growing year on year. UAE is the perfect hub for coordinating international shipment operations.
Why Register an Air Cargo Services Company in Dubai?
The Air Cargo Company in Dubai has enormous business opportunities due to growing local and international demand. Air cargo Companies operate on thin margins and are prone to macroeconomic fluctuations. However, there is a demand for a reliable Air Cargo Services Company in Dubai.
An Air cargo Services Company in Dubai facilitates the delivery of the consignment from the home country to the destination country. Timely delivery at the lowest cost for the customer is a win for an air cargo company to strive amidst tough competition.
The strategic location of Dubai connecting the east and the west world makes it a perfect trade hub. The Dubai Airport handles a significant amount of passenger and cargo planes daily. The global connectivity of Dubai with other countries through air transport makes it a perfect hub for Air Cargo operations.
To know more about opening an Air Cargo Company and Obtaining an Air Cargo Business License in Dubai, connect with our expert business setup consultants right away!