If you are an experienced Indian entrepreneur moving operations from Mumbai to the UAE, your biggest financial mistake will not be office rent—it will be buying the wrong trade license. To save money, many founders buy a highly restricted free zone license, only to realize later that they legally cannot sell their products directly to local consumers in Dubai without paying heavy distributor fees [1]. If your business model involves importing electronics, exporting textiles, and distributing food products under a single corporate roof, you absolutely need a General Trading License [2, 3].
Here is exactly what that costs in 2026, without the sales fluff.
Fast Facts: 2026 General Trading Numbers
- Mainland DED General Trading Cost: AED 30,000–40,000 + AED 15,000 activity fee.
- Free Zone General Trading Cost: AED 9,450 (KEZAD base) to AED 52,636 (JAFZA all-in)
- Investor Visa (includes Medical & Emirates ID): AED 5,500–7,000
- Establishment Card: AED 1,500–2,500
- Setup Timeline: 3–5 working days for initial approval, 10–14 days total with physical office Ejari
The Dubai Mainland (DET) Reality
To sell your products directly to local UAE retail shops without a middleman, you must hold a mainland license issued by the Department of Economy and Tourism (DET). The DET regulates this heavily, and the premium is high. You will pay a base setup cost of AED 30,000–40,000, plus a mandatory AED 15,000 general trading activity fee .
Practical Action: Do not buy a mainland general trading license unless your spreadsheet proves you will actively bid on government contracts or sell B2C directly in the local UAE market.
The DMCC and JAFZA Powerhouses
If your goal is to import and export globally and you do not care about the local UAE retail market, a free zone is your answer. DMCC (Dubai Multi Commodities Centre) and JAFZA (Jebel Ali Free Zone) are the heavyweights here. Setting up a company in DMCC will cost you approximately AED 35,484. JAFZA, situated directly on Jebel Ali Port — the world's ninth-busiest container port — has all-in setup costs of approximately AED 52,636.
Practical Action: If you are moving heavy industrial goods that require deep seaport access, register in JAFZA; if you are trading high-value commodities like gold or diamonds, set up in DMCC .
The KEZAD Cost-Saver Strategy
If you are an export-focused trader with tight margins, look at Abu Dhabi. KEZAD (Khalifa Economic Zones Abu Dhabi) allows you to bypass Dubai's premium pricing. A base trading setup here starts at AED 9,450 for a one-visa package . A general trading license—which KEZAD mandates if your total products exceed 17 or your product groups exceed 3—costs AED 15,000 to renew, and you must show an AED 150,000 capital requirement .
Practical Action: Calculate your physical inventory volume before choosing a zone; KEZAD offers excellent warehouse rates starting from AED 350 per square meter annually.
General Trading Licence Cost — Mainland DED vs DMCC vs JAFZA vs KEZAD
| Jurisdiction | Governing Authority | Estimated 2026 Setup Cost (AED) |
|---|---|---|
| Mainland DED | DET | 30,000–40,000 + 15,000 activity fee |
| DMCC | DMCC Authority | ~35,484 |
| JAFZA | JAFZA Authority | ~52,636 |
| KEZAD | KEZAD Group | From 9,450 (base); 15,000 (general trading renewal) |
Corporate Tax and VAT: Registering for Corporate Tax is mandatory for every UAE business with financial years starting 1 June 2023 or later, under Federal Decree-Law No. 47 of 2022. A general trading company with profits above AED 375,000 is taxed at 9% by the Federal Tax Authority. Furthermore, if your taxable supplies exceed AED 375,000, you have exactly 20 business days to register for VAT; missing this results in an AED 1,000 monthly fine, up to a maximum of AED 10,000 .
"Indian founders love to negotiate the AED 5,000 setup fee, only to lose AED 50,000 because they chose a free zone that legally bans them from selling to their target customers in Dubai."
— MakeMyBusiness Advisory TeamFrequently Asked Questions
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