All About Setting Up A Manufacturing Company in Dubai

Though a significant portion of the UAE’s GDP comes from the oil sector, still that dependency level is slowly declining with the rapidly growing manufacturing sector. Right now the GDP contribution of the manufacturing sector is 14 percent which is expected to increase up to 25% in the next 15 years.  As a result, more investments will be made in this sector, especially in the non-oil areas. The UAE government has already taken several noteworthy initiatives to boost the growth of manufacturing company in Dubai.

Manufacturing business setup in Dubai offers numerous advantages, making it an attractive destination for entrepreneurs and investors worldwide. Here’s a glimpse into the process of forming a manufacturing company in this bustling emirate:

Legal Structure: The first step involves choosing a legal structure for your manufacturing company. Options include free zone companies, mainland companies, and offshore companies, each with its own set of regulations and benefits.

Business Plan: Craft a comprehensive business plan outlining your manufacturing activities, target market, financial projections, and operational strategies. This plan is essential for obtaining approvals and funding.

Company Name: Choose a unique name for your company and ensure it complies with the naming conventions set by the Dubai Department of Economic Development (DED).

Registration: Register your company with the DED, a free zone authority, or a relevant government agency depending on your chosen location and business structure.

License: Obtain the necessary licenses and permits, which may vary depending on the nature of your manufacturing operations.

Location: Select a suitable location for your manufacturing facility, taking into account factors such as proximity to ports, suppliers, and transportation networks.

Hiring: Recruit skilled labor, technicians, and other staff members required for your manufacturing processes.

Infrastructure: Invest in state-of-the-art infrastructure and technology to support your manufacturing operations efficiently.

Compliance: Ensure compliance with local regulations, including labor laws, environmental standards, and health and safety requirements.

Market Entry: Develop a marketing and distribution strategy to enter the local and international markets effectively.

Financials: Establish banking relationships, secure funding if needed, and manage your finances meticulously.

Expansion: As your manufacturing company grows, consider opportunities for expansion, diversification, or entering into partnerships to maximize your business potential.

Dubai’s strategic location, modern infrastructure, and business-friendly policies make it a prime destination for manufacturing companies looking to tap into the Middle East and global markets. With careful planning and adherence to local regulations, establishing a manufacturing company in Dubai can be a rewarding endeavor.

What makes Dubai the perfect destination for setting up a manufacturing company?

According to Dubai Industrial Strategy 2030, Dubai’s industrial growth is expected to cross $16.1 billion by 2030. The government has identified 75 strategic initiatives for transforming this Emirate into an international hub for knowledge-oriented, innovative and sustainable industrial activities. The strategic geographical location, diverse consumer base, talent hub, excellent infrastructure, easy business registration process, and political and economic stability are some factors that make Dubai the perfect destination for setting up a manufacturing company.

Steps For Setting Up A Manufacturing Company in Dubai Mainland

• Select an appropriate activity regarding manufacturing products.
• After selecting the activity, find a reliable sponsor
• Submit all essential documents to the Department of Economic Development for obtaining name approval and initial approval.
• Sign the Memorandum of Association with the notary public along with the local sponsor.
• Manufacturing company setup in the UAE requires a warehouse or land.
• Obtain the tenancy contract and Ejari from the landlord of the warehouse.
• Get an approval from the Municipality of Dubai for obtaining the industrial license.
• After getting all essential approvals, submit the documents to the Environment Department for industrial approval.
• Get NOC from the civil defence.
• Obtain external approvals from the department. These are for selected manufacturing units such as approval from food control for manufacturing food products, narcotics department for chemical production, or Police approval for manufacturing jewellery.
• After obtaining all approvals, submit all the papers to the Economic Department to get the industrial license.
• Make a payment, and your industrial permit will be issued.

Whether it is obtaining the essential approvals, preparing necessary documents, bank account assistance, Corpin Consultants offer all services related to setting up manufacturing companies in Dubai. Contact us at +971 55 843 2911 or ek@corpinconsultants.com for a free consultation.