Dubai Airport Free Zone
Established in 1996. Dubai Air port Free zone (DAFZA), is wholly owned by the government of Dubai DAFZA. It is the only airport–oriented free zone in Dubai, and is located within the boundaries of Dubai International Airport.
Dubai Airport Free Zone is located in the emirate of Dubai, which has rapidly risen to the proud position of being the business and commercial Hub of the Gulf and Middle East. Dubai has established a position of leadership in the economic development of the region.
Moreover, Dubai’s strategic location offers access to development markets with over 1.5 billion consumes-encompassing the member states of the Gulf Co-operation council (GCC), other Arab countries, The Asian sub continent, parts of Africa and Europe, and countries of the common wealth of independent states (CIS).
One of the DAFZA strength lies in its location within the boundaries of Dubai International Airport, One of the fastest growing airports in the world. The Airport currently services over 90 airlines serving more then 136 destinations world wide, and is considered as the Middle East’s premier airport. According to projection, 60 million passengers are expected to use Dubai international airport by 2010. With these figures in mind, the Dubai Department of Civil Aviation began the second phase of expansion costing US$4.1bn in the first quarter of 2002.The expansion is scheduled to be completed by 2006. This phase will include terminal 3, concourse 2 and concourse 3.
In addition, DAFZA investors enjoy the facilities provided by the Dubai Air cargo terminal and Dubai cargo village, which are famous for their handling capacity, efficiency & speed.
Dubai cargo village has a handling capacity of 350,000 tones per annum ( 950 tones daily ), and with the addition, temporary facilities since 1999, the handling capacity of the cargo village is enhanced to in Excess of the 450,000 tones per year. Within the village there are two separate buildings. International companies in the field are established here. Cargo agents take delivery of consolidation and later distribute the cargo to their individual clients.
The cargo building has ground area of 24,985 sq.m, a handling area of 8,300 sq. space of 7,800 sq. m and a storage capacity of 7,420 tones. The buildings lead to an apron where cargo air craft can load and un load up to four B747 frieghters, or a combination of two B747s and three narrow-bodies freighters at the time. The war houses within a bounded area consist of a storage capacity as well as racks for small, medium and large war house pallets
A semi auto mated system is being used for assigning and located the cargo in the cargo village. Computers are used to designate storage areas and track freight through the system warehouse. Employees deliver items to and from the racks using elevating transfer vehicles (ETVs)transfer vehicle (TVs) , forklifts and conveyor belts. Cargo storage racks with facilities for storage include small warehouse pallet with 902 positions, regular with the 1,698 positions, large with 1,126 positions and mini shipments of 760 (single position) it also has 18 positions for storing perishables.
The cargo war house has a total of 56 docks for import, export & perishable cargo and 7 docks dedicated for sea-air traffic.
FREE ZONE LOGISTIC CENTRE (FLC) AIR CARGO TERMINAL
The new 19,000 square meter free zone logistic centre (FLC) commenced operation in 2000 at the Dubai airport free zone . The FLC is an investment in construction, ownership and management by Denata cargo –operators of Dubai cargo Terminal.
The FLC is located on a 26,000 square meter site, which include a docking area capable of handling up to 50 trucks. The FLC has been designated as DAFZA ’s community service provider to act as a conduit for cargo between the air craft and their own storage areas.The FLC will also provide a link to other terminals such as the Dubai air cargo terminal and emirate cargo centre. Some 200 square meter in the FLC are dedicated to specialized storage facility including cooler, freezer, venerable and Valuable storage rooms.
Incentives for investors at DAFZA include
- Dafza location within the boundaries of Dubai international airport
- Investors enjoy the facilities provided by Dubai cargo village and FLC Air cargo terminal
- Online customer service
- Land available with easy access to airport apron
- Investor-oriented management
- Environmentally –friendly activities and procedures are activity encouraged
- On-site customs inspection
- Companies at DAFZA can operate 24 hours a day
- Easy accessibility to DAFZA building and offices within
- Abundant and inexpensive energy
- Easy available of inexpensive workforce
Online Accessibility: To make it easy to apply and to facilitate follow-up procedures, All transactions and communications can be carried out Electronically at DAFZA, with minimum effort and minimum convenience. With DAFZA e-services system ’Tas heel all services are available on line
24 Hours security services: DAFZA offers day and night security services to all tenants. Manned by trained professional staff and supported by hi –tech equipment, no effort are spared in offering the best in security services.
House keeping and Building maintenance: DAFZA offers house keeping services to all offices and public areas in the office building by friendly and well trained staff with proper scheduling done at the tenants convenience . Moreover DAFZA offers 24 hours maintenance services in the building and warehouse areas by professional maintenance team that attend to emergencies as well
Access to support service: In addition to superior logistic provided by well known companies like DHL, FedEx, and Danzas, DAFZA customers can also utilized the cargo handling service of Dnata .
Relaxation Area: DAFZA customers can access a superb food–court with a wide choice of restaurants and cafe’s featuring multi-cuisine food, over looking the apron of Dubai International Airport, this is a peaceful haven of relaxation.
ACTIVITIES ALLOWED BY THE FREE ZONE
Trade license in Dubai airport free zone are issued based on an investor’s business activity.
ACTIVITIES ALLOWED INCLUDE:
Manufacturing, processing, assembling packaging, import of raw materials, export of finished products, import export distribution, storage of all items specified in the trade license and all types of services industries.
After you receive the initial approval from DAFZA committee you will be given an approval letter with a period of one month to submit all of the legal documents required in order to receive a trade/service/industrial license and be registered as a company in DAFZA.
Facilities (units and prices)
If u wish to contract your own warehouse or factory, DAFZA offers plots of land on lease, varying size. Up to 60% of allotted land may be utilized for construction. Prior to building, customers must obtain the required approvals (Building permit) on design and other details from DAFZA’s technical department, which is also responsible for regular inspection of construction procedures.
As a part of our attempt to conform to environmental requirements, and in keeping with our policy of promoting and encouraging environmentally sound technologies, DAFZA will ensure that factories or warehouses constructed within the facility comply with environmentally safe production procedures.
- Various location and sizes. plots next to air port apron are available.
- Round the clock access.
- Industrial disposal and construction disposal are the responsibility of the contractor/builder.
Other waste disposal will be taken care of by DAFZA.
- Tenant can allocate the required amount of parking before or during construction.
- The Tenant is also responsible for general cleaning and maintenance, as well as the installation of air –conditioning and insurance of the building.
|Rental facility||Size||Annual cost||Annual cost(US$/sq. meter)
Dhs /(sq. meter)
|Land sites||Minimum plot size is 2,500 sq. meters.||Dhs 200 per sq.m||US$55 Per sq. meter depending on location||15 years, Renewable every 15 years with one month ’s notice prior to termination of lease|
LIGHT INDUSTRIAL UNITS
High quality thermally insulated and purpose-built units are available at DAFZA on an annual rental basis. For tenant convenience, office is available on the ground and mezzanine floor of each unit. In addition, a ramped exit and an emergency exit are located in the rear of every light industrial unit (LIU).
Flexibility of construction permits tenant’s use of the LIU as either a warehouse for storage or distribution, or as a factory for assembly and light production. If required, multiple units can be utilized to suit individual requirements.
- LIU are located conveniently close to the airport apron.
- Parking space for four cars is available in front of each LIU.
- Round the clock access
- Two toilets are provided per units
- Pantry is located in each units
- Air–conditioning is provided in the office areas. Additional installation will be at the tenants expense
- Waste disposable will be under taken by the DAFZA
|Rental facility||Size 317-350||Annual cost||Annual cost||Lease terms|
|Light industrial units (pre-built nits)||sq. meters include storage area, office space and space for pantry /Rest room services||Light industrial units Dhs 660 per sq meter, plus a service charge of 5% annually||Light industrial units: US$180 per sq. meter||Min. two year renewable|
|Small stores 20 sq. meters are available service charge of 5 % annually.||sq. meters include storage area, office space and space for pantry /Rest room services||Small store Dhs 600 Per sq. meter, Plus a service charge of 5%annually.||Small store US$163 per sq. meter plus a service charge of 5% annually.||Min. two year renewable|
DAFZA offers a wide range of high quality , free-sized offices, available for rent on an annual basis by advance payment investors are permitted to tailor their office units to their unique requirements, and to create an environment that reflects their company’s identity or corporate branding .
Every office unit offers central air-conditioning, with individual thermostat controls. Also each office is equipped with the fiber optic network for high-speed digital lines, UPS, sprinkler system and a advance fire direction system which is linked to the to the DAFZA fire control room.
- Wall to wall windows
- Electricity water and air-conditioning are provided free charge
- Interior of individual offices are available for each office unit
- Security available 24 hours a day
- Rest rooms are on each floor
- Cleaning service is provided by DAFZA, and included in the 7% service charge levied at the time of rental
- Curtains, carpets, Fire control system, and telephone sockets are provided
- It is tenants responsibility to install any private equipment and maintain the same in the office unit.
|Rental facility||Size||Annual cost
|Office units||Minimum 50 sq. meter No maximum space restriction.||Dhs 1,800 per sq. meter plus a service charge of 7% annually||US$ 490 per sq. meter.
Plus a service charge of 7%annually;
|Minimum two year
For office unit –electricity, water and air-conditioning are included in the annual rent pay able directly to DAFZA.
For both land sites and light industrial units, electricity is billable at Dhs 20 (US$ 5.44) per 100 kwh, according to consumption. Water is billable at Dhs 30 (US$8.17) per 1000 gallon, according to consumption.
POST AND TELECOMMUNICATIONS
Emirate post has an office within the boundaries of DAFZA for investor convenience. All registration formalities for opening a post office box and receiving the email will be completed by DAFZA staff including any support documentation that is required for the same.
Telecommunication services applications on behalf of tenant of DAFZA will be submitted on their behalf by the free zone administrative staff. Telephone, Fax and internet services are now provided only through DAFZA .Companies need not approach the telecom service provider of UAE-Etisalat.
This service was especially developed to the needs of DAFZA’s customers for speeding up all types of services required by the customers, ranging from on-line processing from visa application, residence visa, driver’s license, health cards, ID cards, etc., and also for the renewal of these documents.
In addition, investors around the world who are interested in DAFZA may apply on-line and can also have access to the website of any company at DAFZA.
ON LINE CUSTOMER PROCEDURE: ( E-MIRSAL)
All customers at DAFZA can benefit from the excellent services provided by the customer authority and the clock. This will enable customer to proceed on line with customer documentation .
Government services-Representative office of the immigration Department is located within DAFZA.
Business Centre-DAFZA’s business & conference facilities are located on the second floor of the DAFZA complex. The conference room, lecture hall and business lounge offer luxury, high technology and convenience, with the added bonus panoramic view through wall-to-wall glass windows. In addition to flexible seating arrangement, the facility offer catering, which include a choice of light refreshment or more elaborate menu. The lecture hall and conference room feature the latest audio-video equipment including a DVD player.
- Seating for 70 people
- Large presentation screen and the latest in presentation equipment including video, DVD player and CD player
- Flip chart
- Stationary, including marker pens cost renting
- 35 participants: Full working day (8hours): Dhs 1,350 (US$367) per day / Half working day (4 hours): Dhs 700 ( US$191) per day
- 70 participants: Full working day (8hours):Dhs1, 650 (US$449 ) per day /Half working day (4hours): Dhs 950 ( US$259 ) per day
- Fully furnished room
- Television and VCR set
- Snack corner
- Board games
- Cost of renting
- Full working day (8hours): Dhs 1,500/- (US$408 ) per day
- Half working day (4 hours): Dhs 500/- (US$ 136)
STAFF SPONSOR SHIP
Investors have the freedom to choose their own staff. Upon finalization, DAFZA will process visas, residence permits, health cards, medical reports; etc. DAFZA will also undertake to renew the health cards of employees every three years.
A company will be allotted four (4) visas for every 50 square meters of space leased from DAFZA.
The following banks have branches at DAFZA
National bank of Dubai –Tel +971 4 2995550
TYPES OF TRADE LICENSE AVAILABLE AND FEES PER ANNUM
Companies accepted for operation in DAFZA will be granted either an Industrial license, Trading License or a Service License by the free zone authority. Companies have the option of renewing their license for a period of either one or there years. More than one license can be obtained
If such a company wishes to conduct business and sell its product within the UAE it may do so by appointment of a UAE official distributor.
Or any other company holding a valid trade license. However, such a company can obtain the services or product from firm operating in the UAE by itself without the need of a go-between. The most important of these licenses and conditions for obtaining each types are as follows:
|License option||Annual (Dhs)||Cost US$|
|Industrial license Activities allows manufacturing Processing assembling, Expert of finished product||10,000||2, 725|
|Trading license Activities allowed: Import export, distribution, storage of all items specified in the license||10,000||2, 725|
|Service license Activities allowed: All services||10,000||2, 725|
DAFZA does not Grant General Trade license to Companies Under Any Circumstances.
ESTABLISHING A DAFZA –BASED COMPANY
Applying to Dubai airport free zone is very easy and the procedures are simple. There are a few documents you have to submit to a DAFZA sales executive in order for your company to be considerd by the DAFZA committee.
If you are a new company, You have two option for registering a legal entity for a company in DAFZA.
- Register the company as Free zone Establishnment (FZE) with 1 single shareholder and a minimum share capital required for one million Dirham *(US$272,183)
- Register the company as the free zone company (FZCO) with 1 single share holder and a minimum share capital requirement of Dirham 500,000*(US$136,091)>
If u are a branch, then you may establish in DAFZA as a branch of UAE company or branch of an international company. In this case, there is no share capital requirement.
Cost of set up (At-a-glance)
|Minimum capital requirement||Branch offices-No capital requirements|
|Issuance of DAFZA license||Free zone establishment; Dhs 1 million (US$272,183)minimum capital;|
|Issuance of an additional license (Original DAFZA license)||Trade, service; industrial)valid for one year Dhs 10,000/US$ 2,725|
|Issuance of Replacement DAFZA license||Dhs 1,000/US$ 272|
|Renewal of DAFZA license (valid for one year)||Dhs 1,000/US$ 272|
|Late DAFZA license Renewal fine /per month||Dhs 1,000/US$2725|
|Cancellation of DAFZA license (trade, service &industrial)||Dhs 1,000 /US$ 272|
|FZCO registration||Dhs 15,000/US$ 4,083|
|FZE registration||Dhs 1,460 /US$ 397|
|Full employment fee for one employee (include provision of employment entry permit, provision of residence visa, issuance of DAFZA identity card, provision of Health card, medical fitness certificate and issuance of DAFZA lab our card)||Dhs 1,500/- for branch and Dhs 6,500/- for FZE and FZCO|
DOCUMENTS REQUIRED FOR REGISTRATION
The following are Documents to submit for intial consideration by the DAFZA committee:
- Complete application form
- Complete investment form
- A summary of the company’s proposal at DAFZA (Letter of Intent)
- A brochure of company, if available
- The company’s annual financial report
After you receive the initial approval from the DAFZA committee you will be given an approval letter with a period of one month to give in all of the legal documents in order to receive a license and to be registered
|Legal Documents Requirements for Branch Operation|
|Original certificate of Registration OR Original Certificate of incorporation of the Mother company (Notarized)|
|Original Certificate of Good standing mother company (Notarized)|
|Memorandum & article of Association of the mother company (Notarized)|
|Board resolution calling to establish a branch in DAFZA and guaranteeing full financial commitment for their DAFZA operation (Notarized)|
|Appointment of manager ( Notarized)|
|Manager’s power of attorney ( Notarized)|
|Specimen of Manager’s signature ( Notarized)|
Please note that all documents are to be signed and stamped by the mother company’s authorized signatory as for notarization a public notary or equivalent authority should notarize all documents, which should be submitted entirely either in Arabic or English only. Each legal Document has to be sealed, if it consists of more then one page
|Legal Document Requirements for Free zone company ( Non-Individual)|
|Original certificate of Registration Or original certificate of incorporation of the mother company ( Notarized &Attested)|
|Original certificate of Good standing of the mother company (Notarized & Attested)|
|Memorandum & Article of association of the mother company ( Notarized & Attested)|
|Board Resolution calling to establish FZ company in DAFZA which shows the total capital of the company & the share of each partner in the capital and guaranteeing full financial commitment for their DAFZA operation (Notarized & Attested)|
|Appointment of manager ( Notarized & Attested)|
|Valid manager’s passport copy|
|Manager’s power of attorney ( Notarized & Attested),|
|Specimen of his/her signature (Notarized & valid passport copy)|
|Appointment Director (Notarized & Attested, specimen of his/ her signature ( Notarized)|
|Bank statement of share capital minimum of Dhs 500,000/-(US$136,091 ) allocated for the free zone company ( Original)|
Please note that all documents are to be signed & stamp by mother company’s authorized signatory. As Notarization, all documents, which should be submitted entirely either in Arabic or English only. Each legal Documents has to be sealed, if it consists of more than one page
|Legal Document Requirements for Free zone Company (Individual)|
|Applicant’s personal details /profile ( Notarized)|
|Specimen of applicant’s signature Notarized and valid passport copy|
|Original no objection letter from present sponsor (Only for non UAE nationals)|
|Presents sponsor’s passport copy|
|Original bankers reference|
|Appointment of manager (Notarized & Attested)|
|Valid manager passport copy|
|Manager’s power of attorney (Notarized and Attested)|
|Specimen of manager’s signature (Notarized)|
|Appointment of Director (Notarized & Attested) specimen of his/ her signature (Notarized & valid passport copy)|
|Appointment of secretary (Notarized and Attested) specimen of his/her signature. 9A notarized and valid passport copy)|
|Appointment of negotiator or legal representative, Power of Attorney and specimen of his/her signature (Notarized)|
|Bank statement of the share capital minimum of dirham 500,000/-US$136,091 ) allocated for the free zone company (Original)|
|A letter showing the total capital of the company and the share of each partner in the capital (Notarized)|
Please note that all documents are to be signed & stamped by the mother company’s authorized signatory. As Notarization, all documents, which should be submitted entirely either in Arabic or English only. Each legal Documents has to be sealed, if it consists of more than one page
|Legal document s requirements for free zone Establishment ( Non – Individual )|
|Original certificates of Registration OR Original certificate of incorporation of the mother company (Notarized & Attested)|
|Original certificate of good standing of the mother company .(Notarized& Attested)|
|Memorandum and articles of association of the mother company. (Notarized& Attested)|
|Board Resolution calling to establish an establishment in DAFZA and guaranteeing full financial commitment for the DAFZA operation (Notarized & Attested)|
|Appointment of manager (Notarized & Attested)|
|Valid managers passport copy|
|Manager’s power of attorney (Notarized & Attested)|
|Specimen of manager’s signature (Notarized)|
|Appointment of the Director (Notarized & Attested), specimen of his/her signature (Notarized) & valid passport copy.|
|Appointment of negotiator or Legal Representative, power of attorney & specimen of his/her signature (Notarized)|
|Bank statement of share capital of Dhs 1, 000.00/- (US$ 272,183 0 allocated for the free zone establishment (Original)|
Please note that all documents are to be signed & stamped by the mother company’s authorized signatory. As Notarization, all documents, should be submitted entirely either in Arabic or English only. Each legal Document has to be sealed, if it consists of more than one page.