{"id":308,"date":"2020-10-26T05:50:26","date_gmt":"2020-10-26T05:50:26","guid":{"rendered":"https:\/\/www.dubaifreezonecompany.com\/blog\/?p=308"},"modified":"2023-12-28T11:09:11","modified_gmt":"2023-12-28T07:09:11","slug":"warehouse-license-in-uae-free-zone-and-dubai-mainland","status":"publish","type":"post","link":"https:\/\/www.dubaifreezonecompany.com\/blog\/2020\/10\/26\/warehouse-license-in-uae-free-zone-and-dubai-mainland\/","title":{"rendered":"What are the Factors Driving Demand for Warehouse Licenses in UAE?"},"content":{"rendered":"\n

The eCommerce sector in UAE is a growth driver for the Warehousing industry in UAE. Demand for a warehouse license in UAE is on an all-time rise with the rising traction for online shopping. <\/p>\n\n\n\n

Driven by the growth in the eCommerce business sector,\nwarehousing is a lucrative business opportunity that large and small\ndistributors, logistic service providers, traders can take advantage of. <\/p>\n\n\n\n

Ecommerce Sector growth and Requirement of Warehouse<\/h2>\n\n\n\n

The increasing popularity of e-commerce and global trading requirements are adding more warehousing space to the UAE market.<\/p>\n\n\n\n

The high internet penetration, high purchasing power per\ncapita, and large consumer spending are creating a favorable market for eCommerce\ncompanies.<\/p>\n\n\n\n

To power the eCommerce business there is a growing\nrequirement for the right logistics support, distribution network, and\nwarehouse for managing the deliveries effectively.<\/p>\n\n\n\n

Warehouse License Categories in Dubai<\/h3>\n\n\n\n

In UAE mainly warehouse license is available from two major business jurisdictions – The Mainland of UAE and the Free Zones. The rates for the warehouse have been highly competitive in the UAE with a wide range of options available. <\/p>\n\n\n\n

Cost of Warehouse License in UAE<\/h3>\n\n\n\n

Warehouses License in UAE are an integral part of the Free Zones and Mainland business ecosystem. Depending on the specifications, location, and type, the price varies. The cost of a warehouse license in Hamriyah Free Zone<\/a> starts at AED 85,500 for a 307 Sq.m Warehouse.<\/p>\n\n\n\n

The warehouses are an essential business requirement for all businesses that require storage space or a light manufacturing and assembling unit. The cost of the Warehouse depends on various factors such as size, power consumption, customization for cold storage, manufacturing unit, assembling, etc.<\/p>\n\n\n\n

The Warehouse License cost of a 125 Sq.m warehouse in the Sharjah Airport Free Zone<\/a> is AED 48,000 \/ year ( Special Discount rate). SAIF Zone has a wide variety of Warehouse units for lease ranging from 100 sq.m, 125 sq.m, 400 sq,m, and more customized offers available for the investors. <\/p>\n\n\n\n

The warehouse rental cost is a recurring yearly payment to continue the operations to the next year. Similarly, the Warehouse License and Trade License of the company must be renewed on a yearly basis. <\/p>\n\n\n\n

Choosing the Right Warehouse and Business Jurisdiction<\/h3>\n\n\n\n

Most of the Free Zones have warehouse facilities for their investors at the Free Zone premises. It provides the right storage infrastructure for trading companies and light manufacturing units.<\/p>\n\n\n\n

Also, there are warehouses available in the Mainland of UAE operated by private businesses that can be rented as per requirement. <\/p>\n\n\n\n

UAE as a whole provides top-class warehouse, storage, transport, and logistics support services to the businesses operating in the region to easily conduct daily trade operations locally and internationally.<\/p>\n\n\n\n

Warehouse Choices in Free Zones and Mainland of UAE<\/h2>\n\n\n\n

An investor can apply for a general trading license from any of the Free Zones in UAE or the mainland of UAE by opening a Limited Liability Company.<\/p>\n\n\n\n

The Free Zones offer Customized Warehouses for investors at affordable rates and enormous business benefits. Similarly, for an LLC Company, there are private warehouses around the UAE where the goods can be stored and managed accordingly.<\/p>\n\n\n\n

\"Warehouse
Free Zones in UAE with Best Warehouse Facility <\/figcaption><\/figure>\n\n\n\n

All the goods imported to the UAE must follow the Customs\nguidelines and clear the required checks to be legally sold or distributed in\nthe UAE. <\/p>\n\n\n\n

Also, for the goods stored in the Free Zones, there are in-house\nCustoms checkpoints in most of the Gated Free Zones in UAE. Any exchange of\ngoods to and from the Free Zone must pass through the Customs.<\/p>\n\n\n\n

Free Zones with Warehousing Facility<\/h3>\n\n\n\n

Free Zones in UAE with warehousing facilities offer the\nperfect infrastructure for trading companies to store the goods, facilitate\nimports\/export, and distribute in the UAE and GCC region.<\/p>\n\n\n\n

Top Free Zones with Custom Build Warehouse Facilities<\/p>\n\n\n\n

1. Dubai Airport Free Zone<\/p>\n\n\n\n

2. Sharjah Airport International Free Zone<\/p>\n\n\n\n

3. Hamriyah Free Zone<\/p>\n\n\n\n

4. Dubai South<\/p>\n\n\n\n

5. Jebel Ali Free Zone <\/p>\n\n\n\n

Benefits of Setting Up an Export House in UAE<\/h3>\n\n\n\n

Investors can get into long term lease contracts and use the\nspace for storage, distribution, packaging, and assembling. Free Zones in UAE\noffer customized warehouse facilities that can be used as light manufacturing\nunits for the manufacturing of certain permissible items. <\/p>\n\n\n\n

To get more details about warehouses license in UAE and light manufacturing units offered by various Free Zones in the UAE, connect with our team right away!<\/p>\n\n\n\n

The key benefits of setting up an export house or a\nlogistics business in UAE are the following:<\/p>\n\n\n\n

1. Enjoy the Tax-Free Environment in UAE<\/h4>\n\n\n\n

UAE has a Zero Taxation policy for business, the only tax in UAE is a 5% Value-Added-Tax. In the Free Zones, there is a benefit of Zero percent import duty on imports to Free Zones.<\/p>\n\n\n\n

However, the goods going out of the Free Zone to the mainland will be subjected to the normal VAT.<\/p>\n\n\n\n

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https:\/\/www.youtube.com\/watch?v=edBsOO_J-Tc<\/a>