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How to Apply for an Industry License in the UAE

industry license

Securing an industry license is crucial as The United Arab Emirates has emerged as a key player in global manufacturing and logistics. With robust infrastructure, investor-friendly policies, and dedicated industrial zones, it’s no surprise that entrepreneurs are increasingly choosing the UAE to launch industrial operations.

What is an Industry License?

An industry license in the UAE is a legal permit that allows companies to engage in manufacturing, production, assembly, and industrial activities. Whether you’re setting up a food processing unit, a factory for electronics, or a packaging plant, this license is mandatory.

Steps to Obtain an Industry License in the UAE

Getting your industry license involves several stages. Here’s a detailed breakdown:

1. Decide the Jurisdiction

You can set up your industrial business in either:

Free zones offer 100% foreign ownership, customs benefits, and simplified regulations, while mainland setups provide direct access to the local market.

2. Business Activity & Trade Name Approval

You must choose your exact business activity (e.g., furniture manufacturing, metal fabrication) and get your trade name approved by the relevant authority.

3. Prepare the Required Documents

These typically include:

  • Detailed business plan and feasibility study

  • Lease agreement for industrial premises

  • Passport copies and visa details of owners/shareholders

  • NOC from current sponsors (if applicable)

  • Environmental impact and safety reports, depending on the activity

4. Apply for Initial Approval & Industrial Clearance

Submit your application for initial approval along with supporting documents to the relevant authority (DED or free zone authority). You’ll also need industrial clearance from:

5. Secure a Compliant Facility

To be eligible for an industry license, your facility must meet specific industrial regulations:

  • Adequate space and infrastructure

  • Health and safety compliance

  • Fire safety and waste management systems

Many industrial free zones provide ready-made warehouses or customizable land plots that comply with these regulations.

6. Final Submission and Payment

After all approvals and inspections, submit the final documentation and make the necessary fee payments to receive your official industry license.

How Business Setup Consultants Can Help

Navigating the licensing process can be time-consuming. Business setup services in the UAE help you:

  • Choose the ideal location for your industry

  • Prepare feasibility studies and legal paperwork

  • Liaise with government entities for approvals

  • Ensure compliance with zoning, safety, and labor laws

With expert help, you avoid delays and launch your operations faster.

Cost of an Industry License in the UAE

The cost of obtaining an industry license varies depending on your location, facility size, and business activity. On average, here’s what to expect:

  • Initial Approval & Registration Fees: AED 5,000–15,000

  • Annual Licensing Fees: AED 7,000–20,000

  • Warehouse/Facility Rent: AED 25,000–100,000+ annually

  • Additional Approvals/Consultations: AED 10,000–30,000

Free zones like RAKEZ often offer bundled packages for industrial setups that can reduce overall costs.

Why Choose the UAE for Industrial Business?

  • Strategic location between Europe, Asia, and Africa

  • World-class logistics and port facilities

  • Tax benefits and 100% profit repatriation in free zones

  • Access to a skilled global workforce

  • Government support through initiatives like “Make it in the Emirates“

Key Industrial Free Zones in the UAE

When applying for an industry license, choosing the right industrial zone is crucial. Here are some of the top industrial free zones that offer world-class infrastructure and support:

✅ RAKEZ (Ras Al Khaimah Economic Zone)

  • Known for its cost-effective setup, large industrial plots, and access to ports.

  • Example: RAK Ceramics, one of the largest ceramics manufacturers in the world, is headquartered here.

✅ JAFZA (Jebel Ali Free Zone) – Dubai

  • Offers direct access to Jebel Ali Port and Al Maktoum International Airport.

  • Examples: Unilever, PepsiCo, 3M, and Panasonic have regional manufacturing or logistics operations in JAFZA.

✅ KIZAD (Khalifa Industrial Zone Abu Dhabi)

✅ Sharjah Airport International Free Zone (SAIF Zone)

  • Offers warehousing and light industrial units ideal for SMEs.

  • Example: Air Arabia uses this zone for logistics and operations support.

✅ Dubai Industrial City

  • Focused on sectors like F&B, chemicals, and machinery manufacturing.

  • Examples: Almarai, Nestlé, and Dabur have production plants here.

✅ Ajman Free Zone

  • A cost-friendly option for light manufacturing and packaging industries.

  • Example: Al Haramain Perfumes operates out of Ajman Free Zone.

Start Your Industrial Venture with Confidence

Launching an industrial business in the UAE can be incredibly rewarding with the right guidance. By obtaining the correct industry license, securing a compliant facility, and aligning with government regulations, you can establish a thriving manufacturing or production unit.

FounderX is here to help you every step of the way, from selecting the right free zone to completing all paperwork and approvals efficiently. Let’s bring your industrial vision to life.

industry license