Dubai offers incoming businesses all the advantages of a highly
developed economy. Its infrastructure and services match, if
not exceed, the highest international standards, facilitating
efficiency, quality and service. Benefits include:
• Cosmopolitan lifestyle.
• First-class hotels, hospitals, schools and shops.
• Free-enterprise system.
• High-quality office and residential accommodation
( with the option of buying freehold property).
• Highly developed and modern transport infrastructure.
• Maturing financial and service sector.
• Reliable power and utilities.
• State-of-the-art telecommunications.
• Top international exhibition and conference venues.
Costs
For setting up in Dubai, international companies have many
secure cost advantages which may not generally be available
elsewhere.
The cost advantages include:
• Competitive import duties (4 per cent, with many exemptions).
• Competitive labour costs.
• Competitive energy costs.
• Competitive real-estate costs.
• No corporate taxes.
• No income taxes.
• No foreign-exchange controls.
• No trade barriers.
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Doing business
Dubai offers international companies a wide choice of
business options, including:
• A limited-liability company, where foreign ownership
is restricted to 49 per cent; license from the Department
of Economic Development required.
• Branch or representative office with 100 per cent
foreign ownership permitted. Local agent (sponsor) must
be appointed and a license from the Department of Economic
Development is required.
• Commercial agency arrangements, (appointee must be
a UAE national or company) agreement should be registered
at the Ministry of Economy and Commerce.
• Direct trade, the ability to sell directly to established
dealers and distributors.
• Special free-zone investment incentives (see section
on 'Special investment incentives').
Opportunities
Dubai presents international businesses with a broad
range of opportunities for different activities and
operations, including:
• Conferences, exhibitions and seminars.
• Manufacturing and processing.
• Regional offices.
• Trade.
• Transport and distribution.
The market
As the leading regional trading hub, Dubai offers access
to a market of out-standing potential for overseas companies
in a wide range of sectors. Among its key characteristics
are:
• Accessible market - Dubai is served by more than 125
shipping lines and 110 airlines.
• Diversified market - wide import requirements and
opportunities for suppliers of most products.
• Growing market - Dubai's imports have more than doubled
since 1998 and regional economic growth and liberalization
are set to boost demand.
• Large market - AED. 100.7 billion in trade was recorded
for 2004. Exports totaled AED. 5.3 billion and imports
AED. 69.4 billion.
• Open market - no exchange controls, quotas or trade
barriers.
• Prosperous market - Dubai is strategically located
at the heart of one of the world's richest regions.
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Special investment incentives
Dubai's highly successful Jebel Ali Free Zone, Dubai Airport
Free Zone, Dubai Cars and Automotive Zone, Dubai Gold and
Diamond Park, Dubai Internet City, Dubai Media City and Dubai
Metal and Commodities Centre among others provide all the
advantages available elsewhere in the emirate, with the following
additional benefits:
• 100-per cent foreign ownership and full control permitted.
• Efficient transport and distribution facilities.
• Flexible investment options.
• Full administrative and recruitment support from free zones.
• No customs duties.
• Renewable guarantee of no taxation.
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