General Trading Company in Dubai (2026): Licence Rules, Mainland vs Free Zone Costs, Customs and Tax

Dubai built its economy on trade, and the general trading company is still the default vehicle for anyone who wants to buy goods in one country and sell them in another without being boxed into a single product line. The licence is simple to describe and easy to get wrong: founders pay for "general trading" when a cheaper trading licence would do, or assume it covers food, medicines or cars when it doesn't. This guide is for importers, exporters, re-exporters and online sellers setting up in Dubai in 2026. It explains what the licence allows, the published free zone fees, estimated mainland costs, restricted goods, customs registration and the tax rules traders need to know.

Quick answer

A general trading licence lets one Dubai company trade in many unrelated product lines under a single licence; mainland companies get it from DET and free zone companies from their zone. It costs more than a standard trading licence: JAFZA, for example, charges AED 15,000 a year for general trading. You'll also need a Dubai Customs registration to import or export, and food, medicines, vehicles, alcohol and chemicals still need their own approvals.

• Trading licence = a limited set of related goods; general trading = unlimited product lines

• KEZAD switches to general trading at more than 17 products or more than 3 product groups

• Dubai Chambers membership for general trading: AED 1,200 to AED 2,200 a year

• Customs registration: AED 100 + AED 20, one working day

• VAT registration once sales and imports pass AED 375,000

What a general trading licence allows

A trading licence in the UAE lets a company buy and sell goods: import them, export them, hold them in a warehouse, distribute them and sell them on. What separates a standard trading licence from a general trading one is the range of products. Licensing authorities group trading activities into related families, such as electronics, textiles, building materials or foodstuffs, and a standard trading licence covers a limited number of activities from one or a few of those groups. A general trading licence removes the cap, so the same company can trade mobile phones, garments and kitchenware at once.

The free zones publish the dividing line clearly. JAFZA says a licence can cover one group with up to seven activities, or two groups with up to six activities each, and that anything needing more than two groups is treated as general trading, with no limit on activities or groups. KEZAD in Abu Dhabi issues a general trading licence once the total number of products exceeds 17 or the number of product groups exceeds three. SAIF Zone limits its standard trade licence to 3 similar product lines. Mainland DET licensing works on the same principle through its activity list, and the general trading activity sits in a higher fee band.

What a trading licence doesn't allow matters as much. JAFZA is explicit that you can't use a trading licence to manufacture or produce goods in the UAE; that needs an industrial licence. Services that support the sale of goods are generally fine, but a separate service business, such as consultancy or logistics for third parties, needs its own activity.

Trading vs general trading licence

	Trading licence	General trading licence
Product range	Limited activities from 1–2 related groups	Unlimited activities and groups
When you need it	A focused product line	Many unrelated product lines
JAFZA annual fee	AED 5,000 (one group) or AED 8,500 (two groups)	AED 15,000
KEZAD trigger	Up to 17 products / 3 groups	more than 17 products or more than 3 product groups
Dubai Chambers fee	From AED 500 for simple trade	AED 1,200 to AED 2,200
Adding a new product line	Licence amendment, possibly new fees	Usually covered already

Product range

Trading licence

Limited activities from 1–2 related groups

General trading licence

Unlimited activities and groups

When you need it

Trading licence

A focused product line

General trading licence

Many unrelated product lines

JAFZA annual fee

Trading licence

AED 5,000 (one group) or AED 8,500 (two groups)

General trading licence

AED 15,000

KEZAD trigger

Trading licence

Up to 17 products / 3 groups

General trading licence

more than 17 products or more than 3 product groups

Dubai Chambers fee

Trading licence

From AED 500 for simple trade

General trading licence

AED 1,200 to AED 2,200

Adding a new product line

Trading licence

Licence amendment, possibly new fees

General trading licence

Usually covered already

Mainland or free zone?

A mainland general trading company is licensed by DET and can sell directly to customers anywhere in the UAE, open showrooms and retail outlets, and bid for local contracts. Most mainland trading activities can be 100% foreign-owned since the 2021 Commercial Companies Law reforms, typically as an LLC or a single-owner LLC. DET's normal licence route requires a memorandum of association, a lease for the premises and any outside approvals, after which DET issues the licence in about 10 minutes. A flexi-desk or virtual office generally won't satisfy a mainland trading licence, so budget for a real office or warehouse with an Ejari-registered lease.

A free zone general trading company suits re-export businesses whose customers are mostly overseas or are other free zone companies. Port and logistics zones such as JAFZA, Dubai CommerCity and KEZAD let you store goods under customs control, and some are designated zones for VAT purposes, which can simplify moving goods between zones. To sell into the UAE mainland, a free zone company usually goes through a mainland distributor or agent, or obtains the permissions its zone and the economic department require. Our guides to JAFZA, KEZAD and the Ajman Free Zone cover each zone's packages.

Free zone fees for general trading vary widely. JAFZA's published fee is AED 15,000 a year. Ajman Free Zone adds a general trading surcharge of AED 2,000 to its calculator packages, and KEZAD lists a general trading renewal fee of AED 15,000 after the first two years. Office, warehouse, visa and establishment card costs come on top, so compare whole packages, not headline licence fees.

Goods the licence doesn't cover on its own

"General" doesn't mean "anything". Several product categories need their own approval, registration or separate licence, whatever trading licence you hold. Setup consultancies consistently list the following, and the licensing authority will tell you which approvals apply when you add an activity.

Food and drink need Dubai Municipality food safety approvals, both for the products (registration and labelling) and for the warehouse that stores them. Temperature-controlled goods have extra storage requirements. Medicines, medical devices and healthcare products need registration with the federal or Dubai health authority before you import them. Cars and other motor vehicles are licensed as a separate activity. Alcohol needs its own licence and approvals. Weapons, ammunition and military equipment need security approvals, and hazardous chemicals and some building materials need sector-specific clearance and conformity certificates.

Cosmetics, electronics and children's products often need conformity or product registration before they can be sold to consumers. The practical rule is to check every product line against the approval list before you place a purchase order. A container held at port because the goods aren't registered costs storage fees every day it waits.

Names follow the same logic. Free zones such as DMCC only allow the words "General Trading" in a company name when the company holds the general trading activity, and DET expects the trade name to match the licensed activity. Our trade name guide explains the naming rules.

How to set up a general trading company in Dubai

Setting up a mainland general trading LLC

1. 1

   Choose jurisdiction and legal form

   Mainland LLC or single-owner LLC if you'll sell inside the UAE; a free zone FZE or FZCO if you mainly re-export.

2. 2

   Reserve the trade name

   On Invest in Dubai the trade name costs AED 620. Include 'General Trading' and the legal form, for example 'Al Noor General Trading LLC'.

   Invest in Dubai — trade name
3. 3

   Get initial approval and sign the lease

   With initial approval, lease an office or warehouse that suits trading and register it on Ejari.

4. 4

   Sign the memorandum and collect approvals

   Sign the MOA (electronically or before a notary) and obtain approvals for any restricted product lines.

5. 5

   Pay and receive the licence

   Pay the DET fees within 30 days of the payment voucher. DET issues the licence once everything is in place.

6. 6

   Register with Dubai Customs and Dubai Chambers

   Register the business with Dubai Customs through Dubai Trade to get your customs code, and confirm your Dubai Chambers membership.

7. 7

   Bank account, visas and tax

   Open the corporate account, apply for the establishment card and visas, and register for corporate tax and VAT.

Customs registration. Every importer and exporter needs a customs business code. Dubai Customs' business registration service takes a copy of the trade licence and the authorised person's passport and Emirates ID, costs AED 100 plus a AED 20 knowledge and innovation fee, and is completed in one working day. The code is tied to your trade licence, so renew it whenever the licence renews.

Dubai Chambers. Membership is part of mainland licensing. For general trading companies the annual fee is AED 1,200 to AED 2,200, depending on legal form and ownership; free zone companies that join pay AED 2,200. Exporters use the Chamber for certificates of origin, which cost AED 100 each. Our Dubai Chambers guide explains the services.

Bank account. Banks look hard at trading companies because of trade-based money laundering risk. Expect questions on suppliers, customers, countries, shipping routes and how goods will be paid for. Prepare sample invoices, supplier agreements and a clear business plan. Our business bank account guide lists what banks ask for.

What a general trading company costs in Dubai

Free zones publish their fees; DET shows the mainland total only once you've chosen activities and premises. The figures below combine official fees with a Dubai consultancy's 2026 estimates, labelled as such.

DET doesn't set a minimum share capital for most mainland LLCs, according to consultants, but banks often expect a credible capital figure in the memorandum for a trading company that will move stock and open letters of credit.

Worked example: a Deira electronics and household goods trader

Hassan, a Pakistani national living in Dubai, plans to buy phone accessories, small kitchen appliances and LED lighting from China and sell them to retailers in Dubai and to buyers in East Africa. Three unrelated product groups push him past a standard trading licence, so he sets up a mainland general trading single-owner LLC.

His official and estimated costs in year one: AED 620 for the trade name; around AED 34,000 for DET licence fees, MOA, Chamber membership and establishment cards (mid-point of the consultant range); AED 36,000 for a small Deira office and storeroom; AED 5,000 for his own residence visa; and AED 100 plus AED 20 for the customs code. That's about AED 75,740 before stock.

His first container carries goods worth AED 300,000 (CIF). Customs duty at 5% adds AED 15,000, and import VAT at 5% on the duty-inclusive value adds AED 15,750, which he can recover once VAT-registered. Because imports count towards the VAT threshold, that one container takes him close to the AED 375,000 mark, so he registers for VAT before the first shipment lands.

VAT and corporate tax for traders

VAT. Register with the Federal Tax Authority once taxable supplies and imports over the past 12 months exceed AED 375,000, or will within the next 30 days; voluntary registration is open from AED 187,500. Registration is free. Sales inside the UAE carry 5% VAT. Exports of goods outside the GCC can be zero-rated if you keep official and commercial evidence of export. Goods moving between designated zones, a category that includes several port free zones, can fall outside the scope of VAT under specific conditions, which is one reason re-exporters favour those zones. Our UAE VAT guide explains the rules.

Corporate tax. Every company must register within 3 months of incorporation or face a AED 10,000 penalty. Profits are taxed at 0% up to AED 375,000 and 9% above. Free zone companies can qualify for 0% on certain income if they meet the qualifying free zone person conditions, which include rules on trading with the mainland, so take advice before you assume a free zone trader pays nothing. Businesses with revenue up to AED 3 million can elect Small Business Relief for periods ending by 31 December 2029. See our corporate tax guide.

Records. Traders live and die by documents: commercial invoices, packing lists, bills of lading, customs declarations, certificates of origin and payment records. Keep them for at least the period the tax law requires, because VAT zero-rating and customs refunds depend on them.

Try it — VAT on a UAE wholesale invoice

Add TaxRemove Tax

AmountTax Rate

5% (Standard)0% (Zero-rated)

Net Amount (Before Tax)AED 1,000.00

Tax (5%)AED 50.00

Gross Amount (Including Tax)AED 1,050.00

Open the full UAE VAT Calculator (PDF, save, compare)

Running the company after setup

Renewals. The trade licence, the Ejari lease, the establishment cards, visas, Dubai Chambers membership and the customs code all renew on their own cycles. Lining up their expiry dates with the licence renewal saves repeated trips and avoids a lapsed customs code blocking a shipment. Mainland licences renew with DET each year; free zone licences renew with the zone, often with multi-year options.

Ownership records. Every mainland and most free zone companies must keep a register of their ultimate beneficial owners and file it with the licensing authority, and update it when shareholders change. Banks will ask for the same information. Our UBO register guide explains the deadlines.

Selling online as well. Many traders add a web shop or marketplace store for retail buyers. If the products are already on your general trading licence, you may still need an e-commerce activity added for online retail, depending on the authority. Check before you list; our e-commerce licence guide explains the options.

Trade finance. Once volumes grow, suppliers may ask for letters of credit and buyers may ask for credit terms. Banks base trade finance on your trading history, audited accounts and the paper trail of past shipments, so the record-keeping habits you build in the first year directly affect how much working capital you can raise in the second.

Common mistakes, and how to fix them

Paying for general trading you don't need. If you'll only trade one family of products, a standard trading licence is cheaper. Start narrow and upgrade when you add unrelated lines, or choose general trading from day one if you know you'll diversify within the year.

Assuming the licence covers restricted goods. It doesn't. Check approvals for food, cosmetics, medical products, electronics and chemicals before you buy, not when the shipment is at the port.

Skipping the customs code. Without it you can't clear goods in your own name. Register as soon as the licence is issued.

Ignoring imports in the VAT threshold. A single container can push you over AED 375,000. Track sales and imports monthly.

Weak bank documentation. Trading accounts get refused or frozen when the bank can't see where goods and money come from. Keep supplier contracts, invoices and shipping documents organised from the first deal.

Official links

• Invest in Dubai — Request to issue a trade licenceMainland licence route
• JAFZA — What is a trading license?Groups, general trading threshold and fees
• KEZAD — Company licence typesGeneral trading trigger: 17 products or 3 groups
• Dubai Customs — Request business registrationCustoms code
• Dubai Chambers — New membershipFees by licence category
• FTA — VAT registrationThresholds and registration

What to do next

List every product line you plan to trade in the next 12 months and check each one for approvals; that list tells you whether you need general trading at all and which authorities to contact. Then compare a mainland LLC with two or three free zone packages on a whole-cost basis using the startup cost calculator. When the licence arrives, register with Dubai Customs, open the bank account and send your first quotations with the free proforma invoice generator. Our UAE business licence guide covers renewals once you're trading.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

What is a general trading license in Dubai?

It's a commercial licence that lets one company import, export, store, distribute and sell many unrelated product lines, such as electronics, textiles and household goods, instead of a narrow list of similar products. Mainland companies get it from DET; free zone companies get it from their zone. Some goods, such as food, medicines and chemicals, still need separate approvals.

How much does a general trading license cost in Dubai?

It depends on the jurisdiction. JAFZA lists a fixed AED 15,000 a year for its general trading licence, against lower fees for one or two product groups. On the mainland, consultants estimate roughly AED 28,000 to AED 40,000 in the first year before office rent. Dubai Chambers membership for general trading adds AED 1,200 to AED 2,200 a year. Treat non-official figures as estimates.

What is the difference between a trading and a general trading licence?

A trading licence covers a limited set of related products, often within one or two activity groups. A general trading licence removes that limit. KEZAD, for example, issues a general trading licence once you need more than 17 products or more than 3 product groups, and JAFZA treats more than two groups as general trading. The general trading version costs more but saves amending your licence every time you add a product line.

Can a foreigner own 100% of a general trading company in Dubai?

Yes. Since the 2021 Commercial Companies Law reforms, general trading companies on the Dubai mainland can be fully foreign-owned, usually as an LLC or single-owner LLC. Free zone general trading companies have always allowed full foreign ownership. You still need a physical office or warehouse that fits your licence and, on the mainland, an Ejari-registered lease.

Do I need a customs code for a general trading company?

Yes, if you import or export. Register the business with Dubai Customs through the Dubai Trade portal using your trade licence and the authorised signatory's passport and Emirates ID. Dubai Customs lists a fee of AED 100 plus a AED 20 knowledge and innovation fee, with the code issued in one working day.

Can a general trading company sell food or medicine?

Not on the strength of the general trading licence alone. Food needs Dubai Municipality food safety approvals for the products and the warehouse, and medicines and medical devices need health-authority registration. Cars, alcohol, weapons and some chemicals have their own licensing too. Check the approval list for each product before you order stock.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 13 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.What is a trading license? — Jebel Ali Free Zone (JAFZA) · accessed 13 October 2026
2. 2.Company licence type — KEZAD Group (Abu Dhabi) · accessed 13 October 2026
3. 3.New Membership — Dubai Chambers · accessed 13 October 2026
4. 4.Request Business Registration — Dubai Customs · accessed 13 October 2026
5. 5.Request to issue a trade licence — Department of Economy and Tourism, Dubai (Invest in Dubai) · accessed 13 October 2026
6. 6.Request to book a trade name — Department of Economy and Tourism, Dubai (Invest in Dubai) · accessed 13 October 2026
7. 7.VAT Registration (service card) — Federal Tax Authority · accessed 13 October 2026
8. 8.Dubai CommerCity FAQ — Dubai CommerCity · accessed 13 October 2026
9. 9.How to start a trading company in Dubai — Dubai International Advisory Consultants · accessed 13 October 2026