- June 11, 2024
- Posted by: Noman Akram
- Category: Business Setup
UAE Manufacturing License – A Complete Guide (2025)
A UAE Manufacturing License allows businesses to legally operate within the UAE manufacturing industry, whether you’re assembling electronics, packaging food, or producing goods at scale. This license is required for any business that transforms raw materials into final products from factories to workshops, and it can be obtained through either mainland or free zones depending on your goals.
🛠️ How to Get a UAE Manufacturing License in 5 Steps
-
Choose Product & Activity
(e.g., packaging, assembly, fabrication) -
Decide Free Zone vs. Mainland
Based on tax, ownership, and market access -
Reserve Trade Name & Submit Docs
Includes business plan, lease, equipment list -
Obtain Required NOCs
Civil Defence, Environmental, MOIAT approvals -
Get Your License Issued & Register with MOIAT
💰 UAE Business License Cost for Manufacturing
Here’s a cost breakdown for a typical manufacturing license in UAE:
| Component | Cost (AED) |
|---|---|
| Manufacturing License Fee | 10,000 – 20,000 |
| MOIAT Registration | 1,000 – 2,500 |
| Civil Defence / Environmental NOCs | 1,000 – 5,000 |
| Facility Lease | 20,000 – 60,000+ |
| Visa & Immigration | 4,000 – 7,000 (per visa) |
| Total Estimated Setup Cost | AED 35,000 – 120,000 |
Note: above mention is not actual cost, beware of that.
📌 Quick Overview
| ✅ License Name | Manufacturing License in UAE |
|---|---|
| 🏭 Industry | UAE Manufacturing Industry (Food, Steel, Plastics, Electronics) |
| 📍 Jurisdiction | Mainland (DED + MOIAT) / Free Zone (JAFZA, RAKEZ, etc.) |
| 💼 Who Needs It? | Anyone producing, assembling, or packaging goods in the UAE |
| 💰 UAE Business License Cost | Starting from AED 13,500 – AED 40,000+ |
| 🕒 Setup Time | 10 to 21 working days after all approvals |
⚙️ Why the UAE Manufacturing Industry is Booming
The UAE manufacturing industry contributes over AED 200 billion to the GDP and is the third-largest sector after oil and trade. Backed by:
-
Strategic locations (ports, airports)
-
Subsidized industrial zones
-
Zero tax in many free zones
-
Strong demand for locally made products
This makes 2025 the best time to launch a manufacturing business in the UAE.
⚖️ Free Zone vs. Mainland – Which Manufacturing License is Better?
| Feature | Mainland | Free Zone |
|---|---|---|
| Market Access | Full UAE & global | Global only (UAE via distributor) |
| Ownership | 100% foreign ownership | 100% foreign ownership |
| Cost (License + Setup) | AED 40,000 – AED 120,000 | AED 25,000 – AED 90,000 |
| Facility Type | Warehouse + office required | Ready-made industrial units available |
| Tax Benefits | Subject to 9% tax (above AED 375K profit) | 0% tax in compliant free zones |
| Best For | UAE sales, scaling, heavy industries | SMEs, exporters, simplified setup |
❓ FAQs – UAE Manufacturing License
Is a manufacturing license mandatory in the UAE?
Yes. Any business producing, assembling, or packaging products needs this license from the DED or free zone authority.
Can I own the factory 100% as a foreigner?
Yes. The UAE allows 100% foreign ownership for industrial activities.
How long does it take to get a license?
Usually 2 to 3 weeks after facility approvals.
Which free zones are best for manufacturers?
-
RAKEZ (cost-effective for SMEs)
-
JAFZA (near Jebel Ali Port)
-
SAIF Zone (near Sharjah Airport)
