Some of the world’s most exquisite culinary arts can be found in Dubai. This is made possible by the city’s thriving food industry. Consequently, now is the ideal time to launch a Foodstuff Trading Business in Dubai.
Additionally, businesses that deal in food can now conduct business both inside and outside of the UAE. As a result, you can expand your company internationally after starting a food trading business in Dubai.
You must obtain a food trading license from the DED in Dubai if you want to start a business selling foodstuffs there. The barriers to entry into the market are very low in Dubai because the food industry is a constantly expanding sector.
Numerous industries in Dubai present excellent opportunities for business establishment. Trading in food is one of these industries that is the most lucrative.
There is plenty of room for food trading companies to expand and generate a steady stream of income due to the UAE’s thriving food and beverage industry.
What food products are permitted under the food business license?
Clients can check and select the activities based on their business needs even though the list is not all-inclusive. The following are a few typical items covered by this trade license:
- Fruits and vegetables
- Cereals and grains
- Mineral water and juice
- Canned meat
- Spices and sugar
- Items for snacks
- Chocolate products and soft drinks
Rules and regulations governing food trade business licenses are applicable to the Dubai Municipality, the sole owner of such rights. It lays out the guidelines and standards for policing the food trade.
The company that trades in foods will file its paperwork as a Limited Liability Company (LLC) with a business license.
Documents required for a foodstuff trading license in Dubai
According to the Department of Economic Development, the following papers must be submitted in order to apply for a license for your food trading business:
- A shareholder’s passport copies (s)
- An NOC letter, if one or more shareholders are UAE citizens.
- Copies of the shareholder’s visa pages (s)
- The rental agreement and Ejari
- The business MOA
It is crucial to remember that this list of documents is not all-inclusive and may contain additional requirements depending on your business activity.
Foodstuff trading company formation process
You must adhere to a few precise procedures that have been outlined by the Department of Economic Development in Dubai’s authorities. However, it is strongly advised that you seek professional assistance if this is your first time starting a business in the United Arab Emirates.
The following are the steps you must take to begin a food business in Dubai:
- Set up a trading name for your company.
- Obtain the DED’s initial approval in Dubai.
- Make the Memorandum of Association and sign it (MOA).
- For your company, you should rent or lease office space.
- Send the DED all the needed paperwork.
- Finish making the payment specified on the DED’s payment voucher.
- Obtain the DED’s license for trading in food.
- In the Dubai Municipality, register your food product.
Regulations for Opening a Food Trading Company in Dubai
You can choose between a local license and a free zone, depending on your business model. A free zone food trading license will grant you complete ownership of your company.
For your business, you must have a physical location that complies with Dubai Municipality codes. The food codes are frequently changed, so it is crucial to make sure that the trade abides by the most recent rules and regulations set forth by the municipality.
If you don’t abide by Dubai’s food safety regulations, your company may be subject to periodic inspections and severe fines.
There are regulations to follow when trading in foodstuffs in Dubai.
The following are some guidelines to remember when handling and transporting food:
- Assure that there are adequate tools for handling the food, such as transport, bins, and boxes, to prevent food contamination.
- Separate food items into appropriate compartments.
- Keep the food at the right temperature and humidity while storing or transporting it to make sure it stays fresh.
Since most fruits and vegetables are imported from other nations and there is little domestic consumption, the market for their trading is booming. You will have the chance to reach a sizable consumer market with a food trading business in Dubai because the clientele is quite diverse.
How Much is the Foodstuff Trading License Cost in Dubai?
Foodstuff trading license costs in Dubai will require an investment of AED 10,000 to AED 20,000.
Applying for a mainland license is necessary if you want to conduct business easily in Dubai and the rest of the UAE. Between the mainland and the free zone, the price varies.
Additionally, the overall cost is influenced by the administrative paperwork, outside approvals, the size and location of the warehouse, and other elements. For more details on “What are the fundamental requirements and what you need to know before starting a business in Dubai. Send us a message with your inquiry.
What function does Dubai Municipality serve?
According to the following rules set forth by the Dubai Municipality Food Control department, every company that trades in foods must register with the municipality of Dubai.
- Create an account for your business on the DM Food Import and Re-export System (FIRS).
- Obtain government-compliant food label approval for all products that contain food.
- Enter food items in the FIRS.
- Request the Dubai Central Food Laboratory’s FIT analysis findings.
Following receipt of the trade license from DED, you must register with Dubai Customs in order to obtain a special customs code required for import-export.
Consult with knowledgeable business setup consultants if you want to learn more about registration and food trading.
Conclusion
You have come to the right place if you want to start a Foodstuff Trading Business in Dubai’s mainland or free zone but are unsure of where to begin. Our professionals have assisted business owners and investors from around the world in launching a variety of ventures in Dubai and the other emirates. Reach out to us right away to get started.
For entrepreneurs looking to launch their next business in Dubai, we offer specialized business setup and advisory services. Our experts can help you strategize, launch, and scale your business in Dubai with services like business consultation, bank account opening, selecting the best business activity, and applying for a business license.
