Dubai General Trading License: What It Covers, Costs and How to Get One

The general trading license is one of the most flexible commercial licenses the UAE offers. Under a single registration number you can trade in consumer goods, electronics, textiles, foodstuffs, building materials, machinery parts, chemicals (with separate approvals where required), and hundreds of other categories listed in the DET's activity code library.

This is different from a specific trading license, which locks you into one product category such as garments or mobile phones. With the general trading license you can shift products, respond to market demand, and operate as a distribution intermediary across categories without going back to re-register.

There are limits worth knowing up front. The license does not automatically cover heavily regulated goods: pharmaceuticals, precious metals, weapons, and certain chemicals each need additional approvals from the relevant Dubai authority. For the vast majority of physical goods, though, a general trading license is enough.

For importers and exporters who deal in mixed cargo or plan to source from multiple origins and sell to multiple destinations, this structure keeps operations clean and auditable.

The choice between a free zone and a mainland general trading license comes down to where your customers are and how goods move.

Free zone license: Issued by authorities such as DMCC, IFZA, JAFZA, or RAKEZ. Free zone companies can trade internationally without restrictions, but selling directly into the UAE mainland requires a local distributor or a separate mainland entity. Costs start from around AED 12,000 to AED 15,000 per year at budget-friendly zones like IFZA or RAKEZ.

Free zone companies get 100% foreign ownership as standard, and many zones offer dedicated warehousing or logistics infrastructure. JAFZA is directly connected to Jebel Ali Port, which handles roughly 60% of UAE port traffic, making it the clear choice for businesses focused on large-volume import and re-export.

Mainland license: Issued by the DET. Since 2021, UAE law allows 100% foreign ownership for most mainland business activities, removing the old requirement for a local Emirati sponsor. A mainland company can sell directly to UAE customers, government entities, and retailers with no distributor arrangement. First-year costs including DET fees, office lease, and initial approvals typically run AED 18,000 to AED 30,000.

For businesses whose primary purpose is re-exporting goods to third countries across the Gulf, Africa, or Asia, a free zone setup at JAFZA or DMCC is usually the more practical structure. For businesses serving the UAE domestic market alongside exports, mainland is cleaner.

License costs vary by jurisdiction, office arrangement, and visa quota. These are realistic figures for 2025 and 2026.

IFZA Free Zone (most affordable): License fee: AED 12,000 to AED 14,000 per year Virtual office: included or AED 3,000 to AED 5,000 extra Visa allocation: 3 to 6 visas depending on package Total first year: AED 15,000 to AED 20,000

DMCC Free Zone (commodity trading hub): License fee: AED 18,000 to AED 22,000 per year Registered office: AED 5,000 to AED 8,000 Total first year: AED 25,000 to AED 32,000

JAFZA Free Zone (port-connected logistics): License fee: AED 15,000 to AED 20,000 Warehouse or desk space: from AED 8,000 per year Total first year: AED 25,000 to AED 35,000

DET Mainland: Initial approval and license: AED 5,000 to AED 8,000 Office lease (physical space required): AED 10,000 to AED 25,000 per year Memorandum of Association and notarization: AED 2,000 to AED 4,000 Total first year: AED 18,000 to AED 40,000

Renewal in subsequent years is cheaper because you skip the one-time establishment fees. Expect renewal to cost 60% to 70% of the first-year total.

Visa costs are separate: each residence visa (Emirates ID, medical, stamping) runs approximately AED 3,500 to AED 5,000 per person.

Dubai sits at the center of global trade corridors. The UAE applies a 5% customs duty on most imported goods, but free zone companies importing for re-export pay zero duty as long as the goods do not enter the UAE mainland. That zero-duty re-export model is the core reason Dubai works as a trading platform.

Goods arriving into JAFZA or other designated free zone ports are warehoused in a bonded zone. No customs duty is paid at arrival. When those goods are re-exported to a third country, they leave the UAE directly without ever entering the UAE's customs territory, so no duty is triggered. Duty of 5% applies only if goods move from the free zone into the UAE mainland market.

For mainland companies, imports for direct sale in the UAE are dutiable at 5% on the CIF value (cost, insurance, freight). Tobacco, alcohol, and certain other categories carry higher duties or excise taxes.

Import and export documentation in Dubai goes through the UAE's eDAS system for trade statistics and the MIRSAL 2 customs system for clearance. Standard paperwork includes a commercial invoice, packing list, bill of lading or airway bill, certificate of origin, and the consignee's import code.

Dubai Customs has an online portal where companies register, submit declarations, and track shipments. Processing times for routine commercial shipments at Jebel Ali are typically 24 to 48 hours.

Dubai has been the primary gateway for goods moving across the Middle East, Africa, and South Asia for decades. The city's re-export trade runs through well-established, long-operating networks and is supported by world-class logistics infrastructure.

The practical model works like this. An international business owner sets up a general trading company in Dubai, usually in JAFZA or DMCC. The Dubai entity purchases goods from global suppliers in China, Europe, or elsewhere, using its UAE bank account to settle in dollars or euros. Those goods are warehoused in the free zone and then shipped onward. The Dubai company handles the international leg of the transaction with proper invoicing and documentation.

This structure is used across sectors: electronics, agricultural inputs, industrial equipment, textiles, and consumer goods. It gives businesses access to global supply chains through a jurisdiction that has normal banking relationships and widely accepted trade documentation.

From a legal standpoint, the Dubai entity is a UAE-registered company. Its trade is governed by UAE law. What matters for compliance is that the company operates within UAE regulations and that transactions are properly documented. Alsama's team understands this trade structure and can walk you through which free zone suits your product category, how to set up the Dubai entity correctly, and what banking arrangements are realistic for your situation.

Setting up a company with a general trading license in Dubai also creates a pathway to UAE residence visas. The company owner can apply for an investor residence visa, and the company can sponsor additional visas for employees or family members.

The investor residence visa issued through a free zone or mainland company is valid for 2 or 3 years depending on the authority, and is renewable. It allows the holder to live in Dubai, hold a UAE driving license, open personal bank accounts, and access UAE healthcare and schooling.

Visa quotas depend on the office arrangement. A virtual office setup typically allows 3 visas. A dedicated desk allows 6. A physical office allows more based on floor area.

For foreign nationals, a UAE residence visa meaningfully expands practical mobility. UAE visa holders can travel to many countries more easily, and a Dubai address creates a credible international business presence.

If you invest AED 750,000 or more in UAE property, you qualify for a 2-year property investor visa. If you invest AED 2 million or more, the 10-year Golden Visa applies. A general trading company alone does not qualify for the Golden Visa, but combining a company with a qualifying property investment can cover both residency tracks at once.

The process of getting a Dubai general trading license follows a clear sequence. For most free zone setups, everything can be done in 7 to 15 working days.

Step 1: Choose your jurisdiction. Decide between free zone and mainland based on your trade model. For re-export focus, JAFZA or DMCC. For mainland sales plus exports, DET. For a cost-efficient starting point, IFZA or RAKEZ.

Step 2: Reserve your company name. Names cannot include political or religious references and must end in an approved suffix. Name approval takes 1 to 2 days.

Step 3: Submit incorporation documents. Passport copies of all shareholders and managers, a completed application form, and the proposed business activity list. For mainland, a Memorandum of Association drafted in Arabic and notarized is required.

Step 4: Secure office space. Free zones offer virtual office packages. Mainland requires a physical lease registered in the Ejari system, submitted as part of the license application.

Step 5: Pay fees and receive your trade license. Once the authority approves documents and payment is confirmed, the license is issued. This takes 3 to 7 working days in most free zones.

Step 6: Open a corporate bank account. With your trade license and incorporation documents, apply to a UAE bank. Emirates NBD, Mashreq, and RAKBank are commonly used by trading companies. Account opening takes 2 to 6 weeks.

Step 7: Register with Dubai Customs. Apply for an importer/exporter code through the Dubai Customs portal. This is required before your first shipment can be cleared.

Alsama handles steps 1 through 5 on your behalf, liaises with the bank, and ensures your company is structured correctly from day one.

A Dubai general trading license combined with UAE residency is one of the most practical business structures available to international entrepreneurs today. The AED is pegged to the US dollar at 3.67, so assets and revenue held in dirhams maintain their dollar value. Every dirham earned is effectively a dollar position.

Transferring funds to set up the company is done through international wire transfers and banks in Dubai with well-established compliance procedures. Alsama's advisors will walk you through the realistic channels currently available and the documentation needed to keep the transfer clean and traceable.

The company, the trade license, and any property you purchase are held directly in your name. There is no nominee structure, no hidden partner, no ambiguity about ownership. This is a regulated UAE asset.

Alsama's multilingual team has helped hundreds of clients set up companies in Dubai, structure their trade flows, and combine business residency with property investment. We handle the paperwork, the free zone applications, the bank introductions, and the customs registration. You focus on the business.