How to Setup Gold Trading and Precious Metals Business in UAE
Dubai being globally recognized as “City of Gold” draws attention of many expatriates from all over the globe to explore the plethora of opportunities in Gold and Diamond industry. Stunning infrastructure, high-quality lifestyle and liberal trade policies make GOLD & Precious Metal trading a lucrative option for investors.
The economic diversity, easy accessibility, no exchange controls, quotas or trade barriers are the reason why many expatriates from all over the globe explore the plethora of opportunities this particular license offers.
There are great platforms available in UAE which are globally recognized for one to kick start their Gold & Precious Metal Trading Business.
Dubai Economic Department-The first preference for most of the investors DED allows the investors to penetrate into the Dubai local market with any restrictions. There are around 300 retailers in the traditional gold market which is located in the center of commercial district in Deira. Equipped with all amenities, Port Rashid is a well recognized PORT to facilitate all import and export. This license on Dubai Mainland is subject to the approval of “SIRA Authority”.
Some of Unique offerings of DED under GOLD & Precious Metal Trading License as below:
- Exemption from VAT and Profit Tax
- A strategic location that attracts tourists
- No Minimum Capital Requirements
- Flexibility to carry out business any where inside UAE
Jebel Ali Free Zone Authority (JAFZA)
JAFZA is recognized globally as the world largest free zone and as a leading business hub with thousands of traders under one roof. Equipped with one of the largest ports in Dubai, Import and export activities are fairly convenient. JAFZA facilitates total spectrum of business offices, warehouses, retail units, staff accommodation. Their Key features and activities for this license is similar as Gold & Diamond Park. With JAFZA license registration investors can opt for offices and workshops within the free zone and also in Gold & Diamond Park.
Gold and Diamond Park Free Zone
Established in 2011 Gold and Diamond Park is unique and thoughtful combination of not only retail space but also for a facility for around 118 manufacturing blocks. It offers an advantageous preposition to jewelers and business people who are in search of premium commercial leasing opportunities including 350 offices.
JAFZA (Jebel Ali Freezone Authority) is the governing authority to issue trade license for setting up in Gold and Diamond Park. First the investor needs to lease an office space and acquire a tenancy contract from them. Once that is done, License can be applied at Jebel Ali office. Upon fulfilling the specified criteria, authority will grant you the license to start the trading.
Gold and Diamond Park offers different license options like Trading, Manufacturing, Retail, Service and ecommerce etc. Each of these licenses has specially designed criteria from authority. Our Professional team can help you to take through it smoothly and get it done without any hassle.
There are plenty of external approvals associated while processing this license like (EHS Authority, Dubai Municipality, Risk Assessment Authority, Civil defense and SIRA Etc). These approval requirements may vary upon the choice of license one is opting.
DMCC: Dubai Multi Commodities Center
With over 13000 companies, DMCC authority excels in setting Gold and Precious metal trading license in UAE. With its unique offerings like 100% business ownership, Guaranteed 50 year tax holiday, No foreign exchange, 24/7 access to operational facility, No restriction on capital repatriation , well built infrastructure, and secured business environment many investors look forward to setup DMCC License for this business. At the same time cost to set up business in DMCC will be high comparatively.
Investors are required to deposit the minimum share capital of AED 50000 in the bank within one month after the issuance of license. The license is subject to the approval from SIRA Authority.
Sharjah Airport International Free Zone (SAIF)
SAIF Zone is one of the oldest, largest and fastest growing free trade zones recognized in Northern Emirates of UAE. It is the only free zone in the emirate of Sharjah that offers gold trading license with infrastructures as good as Dubai. Registration of license in this free zone is economical however the features of the free zone allows investors to trade only within the free zone and restricts investors from dealing directly with the local market. The company has to appoint a local distributor to distribute goods to Dubai by paying 5% custom fee.
This blog is written by Ms. Shweta Bhalla, Director – Business Advisory at Flyingcolour Business Setup, Accounting & VAT Services, who has expertise in setting up business in UAE and make the process absolutely seamless. If you are interested in setting up a commodities trading center in UAE, our professional advisory can take you through the opportunities you can avail in the region. Get in touch with our experts to learn more about the process. We, at Flyingcolour, provide business setup services, visa, IP, PRO, licensing and office space to entrepreneurs looking to establish themselves in UAE. You can send your inquiry to info[at]flyingcolour[dot]com or call +971 4 4542366.
