An important factor behind the continuous growth of businesses in Dubai is the adoption of sophisticated licensing procedures. Every business in Dubai must obtain the appropriate licence before commencing operations. One key permit for large‐scale manufacturers is the Industrial Licence.
What Is an Industrial Licence?
An Industrial Licence is required for any company involved in transforming raw or initial materials into finished products. It’s primarily used by manufacturing firms and large industries, authorizing them to produce, store, and process raw or semi-manufactured goods.
Industrial Licence Sectors in Dubai
Any company engaged in manufacturing or production from raw materials must hold an Industrial Licence. Common sectors include:
- Textile manufacturing
- Paper manufacturing
- Bread and bakery products
- Engine manufacturing
- Petroleum products manufacturing
- Metal-casting industries
Requirements for an Industrial Licence in Dubai
Because this licence is activity-specific, applicants must meet all pre-requisites:
- A physical office and warehouse within Dubai (no virtual offices)
- Machinery with a minimum capacity of 5 horsepower
- Minimum share capital of AED 250,000
- At least 10 employees on your payroll
- Mainland only: A local sponsor holding 51% of the company’s shares
- Licence application fee paid
- Feasibility study completed and factory site visit arranged
You must apply for the licence in the jurisdiction where your factory will be located.
How to Apply for an Industrial Licence in Dubai
Obtaining an Industrial Licence is more involved than most other permits. You’ll need approvals from multiple authorities and a comprehensive document package.
- Initial Approvals:
Obtain preliminary clearance from relevant departments (e.g. planning, environment) before establishing a factory.
- Submit to the DET (formerly DED):
Apply online or in person to the Department of Economy and Tourism.
Processing can take up to 3 months.
- DET Decision:
Approved applications are notified within 15 days of decision.
- Sector-Specific Approvals:
Secure clearances from bodies such as the Industrial Register, Dubai Chamber of Commerce & Industry, Ministry of Health, Ministry of Interior, National Media Council, and Ministry of Environment and Water.
Each authority typically responds within two weeks.
- Commence Operations:
Once all approvals are in place, you may begin your industrial activities.
Documents Required for an Industrial Licence
Prepare and submit the following with your application:
- Passport copy and UAE residence visa copy (if applicable)
- Latest audited balance sheet
- Partnership agreement or shareholders’ agreement
- Existing trade licence (if amending)
- Factory location plan and tenancy contract
- Approvals from:
- Ministry of Interior
- Ministry of Health
- National Media Council
- Ministry of Environment and Water
