Companies based in free zones are seen as offshore giving them the freedom of full ownership, no local sponsorship is required. Other benefits include tax exemption and 100% repatriation of profit and capital. Offshore status also means that companies wishing to trade in Dubai or the Emirates will often have to work through a commercial agent or distributor. Most of these zones have state-of-the-art facilities and good administrative support. In some, companies can also purchase leasehold property on which to build their own offices, warehouses or manufacturing centres. Jebel Ali Free Zone Dubai Airport Free Zone Dubai Technology and Media Free Zone Dubai Internet City Dubai Media City Knowledge Village Dubai Future Projects


 

Jebel Ali Free Zone

Since its establishment in February 1985, Jebel Ali Free Zone has been able to attract national and multinational companies and contributed to placing the name of the UAE and Dubai in particular on the world commercial map.

Jebel Ali Port, within the Free Zone, is the largest man-made port in the world. A modern and efficient hub, with a capacity to handle even the largest container ships, car carriers, ro-ro vessels, bulk carriers and general and specialised cargo vessels.

Goods reaching Dubai are speedily discharged at the terminals of the Dubai Ports Authority (DPA) at Jebel Ali or Port Rashid in Dubai city. From here, re-export and trans-shipment cargo is reloaded onto feeder vessels or onto trucks, which travel throughout the region via a modern network of highways, which link all the Middle East, and beyond.

JAFZA offers unique benefits for businessmen who set up an establishment in the Jebel Ali Free Zone. It also offers a unique opportunity to do business in the Middle East. It is an ideal industrial, warehousing and distribution base.

The Jebel Ali Free Zone enjoys several features that businessmen and investors could benefit from, such as:

 

  • Being an open market to other international markets.
  • 100% foreign ownership.
  • No personal income and corporate taxes for 50 years, a concession that is renewable.
  • 100% repatriation of capital & profits.
  • Modern efficient communications.
  • No recruitment problems.
  • In-house e-business support “My JAFZA” Portal Service.
  • No currency restrictions.
  • Excellent support services from Dubai Ports Authority’s two modern container terminals.
  • Unique staff accommodation and modern community housing.
  • On-site branches for the Chamber of Commerce, international banks, insurance firms and consultancy offices.
  • Owners of premises for land lease can be mortgaged for bank facilities.

 

The reasons for the success of the Jebel Ali Free Zone are not hard to understand when you look at its distinguished geographic location. No major markets in the Middle East are far away, no major port in the region is more than 24 hours driving or 48 hours sailing, Europe is 14 days away, Japan 20 days and South East Asia 9 days away.

 

Setting up a company in JAFZ does not require a local partner. Therefore, companies retain 100% control of their business at all times. No import and export duties are applied within the Free Zone. All profits can be transferred out of the country as and when required. Since the establishment of the Jebel Ali Free Zone and until 1990, the number of companies based in the zone was not more than 200. However there are now more than 2,350 companies from over 100 countries. The zone was the first free zone in the world to receive ISO 9001:2000.

Unlike the industries in most of the free zones around the world whereas the industrial investment percentage represents 3-4%, the industrial projects in Jebel Ali reached 25% from the total based projects in the zone. All this was achieved due to strong infrastructure and the presence of vast lands that suit the setting up of such projects. Commercial activities of the companies based at the JAFZ differ; they include wooden industries, furniture, paper, printing, publishing, textile, readymade clothes, foodstuff, beverages, chemicals, petroleum industries, coal, plastic and metal industries among others.

The nationality of companies at the Jebel Ali Free Zone varies in which Arab companies including the UAE, represent 27%, European companies represent 25% while companies affiliated to the Indian subcontinent also represent 25%, American Companies form 7%, Far East companies are 8% and other companies form 8%.

Making use of computer capability advantages, JAFZA was able to achieve the best customer satisfaction, which in turn will improve current and future business. The introduction of the e-business portal in October 2001, MyJAFZA, is selected as a best tool to improve the entire MyJAFZA business processes and services. The services provided by MyJAFZA include visit visa, work visas, visa renewal, health cards, company licences. These services represent more than 60% of free services provided by the administration affairs at Jebel Ali Free Zone.

 

 

Dubai Airport Free Zone

The Dubai Airport Free Zone Authority (DAFZA) was established in 1996 and became fully operational in 1999 when the construction of its facilities was completed. The following year it became a fully independent authority. The idea behind the establishment of DAFZA is to create an ideal business environment for big international companies that select the zone not only as a base for UAE activities but also as regional base for manufacturing, distribution and services.

Since DAFZA is situated within the vicinity of an airport, activities permitted at the zone are limited to high value, low volume products, which require a rapid access to markets. Therefore this is an ideal location for hi-tech/IT products, luxury items, jewellery, light industry/assemble operations and activities related to the aviation industry. DAFZA has already attracted 141 companies, many of which are high calibre international blue chip companies selected from more than 400 applicants.

Dubai Airport Free Zone provides attractive business incentives for investors:

 

  • 100% foreign ownership.
  • A corporate tax holiday for 15 years renewable for an additional 15 years.
  • No personal income tax.
  • Freedom to repatriate both capital and profits.
  • Full exemption of import duties.
  • No currency restrictions.
  • An ideal business location on the threshold of over 1.5 billion people in the Asian and CIS markets.
  • Located just 15 minutes from Port Rashid and only 5 minutes from the city centre, which reduce response times and transportation costs.
  • Offices one-window operation for a wide range of services and sponsorship of companies in their dealings with local government agencies such as sponsoring companies' personnel and handling all the related employee residency products. These services are also available electronically.
  • Meet all cargo handling, storage and distribution needs efficiently with just in time delivery systems through superior logistic services.
  • World-class infrastructure which includes digital communications, satellite facilities, reliable power supply and ultra-modern equipment and utilities.

The first phase of DAFZ was completed in March 1999 and included two 6-storey buildings totalling 14,772 m2 and 9,500 m2 available for rent out of the total 24 warehouse units, each of 353 m2 and 271,956.4 m2 8,500 sq.m. is already completed and 160,000 available for rent.

DAFZA has successfully rented 100% of its current buildings and warehouses; phase 2 expansion of the new building has been successfully completed. The expansion includes a total office space of 10,830 m2 in the new building from which 41% is already reserved and 14 warehouse units tailored to meet customer needs. Also, DAFZA has already proceeded with phase 3 of expansion, which will include 2 new buildings and light industrial units.

 

 

Dubai Technology and Media Free Zone

The Dubai Technology and Media Free Zone is a tax-free commercial site set up by the Dubai Government to support the development of knowledge-based industries. The Free Zone has three separate industrial clusters with one for the ICT sector, another for the media industry and a third for diverse companies that create and disseminate knowledge including education and training institutions.

The Free Zone offers significant business incentives to assist growth and reduce the costs of opening or relocating a business. Companies in the Free Zone have 100 per cent ownership of their businesses and pay no taxes on sales, company earnings and private income. Businesses can obtain land on 50-year leases to set up their own facilities. The Free Zone also offers 100% repatriation of capital and profits, no currency restrictions, effortless registration and licensing, stringent cyber regulations and protection of intellectual property.

There is a single-window for applying for all government approvals and services, including those pertaining to trade licenses, visas and work permits.

 

 

Dubai Internet City

Dubai Internet City (DIC) is a strategic base for ICT companies targeting emerging markets in a vast region extending from the Middle East to the Indian subcontinent and from Africa to the CIS countries, covering 1.6 billion people with GDP $1.1 trillion.

Within a short span of time, a dynamic international community of ICT companies has established itself in Dubai Internet City. The global ICT giants are all here: Microsoft, Oracle, HP, IBM, Compaq, DELL, Siemens, Canon, Logica, Sony Ericsson and Casio, to name just a few.

The cluster of ICT companies in DIC comprises of Software Development, Business Services, Web-based & e-Commerce, Consultancy, Sales & Marketing and Back Office Operations. DIC provides a scalable state-of-the-art technology platform for companies looking to provide cost effective business process outsourcing (BPO) services such as call center operations.

DIC provides an environment that attracts each and every element of the value chain for an ICT business. In addition, it has developed programmes that can be leveraged by the ICT community to explore and expand ÔChannel DevelopmentÕ opportunities. The burgeoning ICT cluster at DIC also offers a high quality of business interaction and networking opportunities that can be utilized for enhanced problem solving and knowledge sharing.

Application Procedure for Dubai Internet City                                                                                              Individuals or entities interested in being part of the Dubai Internet City business community are required to fill out an application form, which can either be downloaded from the Dubai Internet City website (www.dubaiinternetcity.com) or obtained from its Sales Department (Tel: 3911111, Fax: 3968777).

 

 

Dubai Media City

It was inaugurated on January 2001. Strategically located in Dubai at the crossroads of the Middle East, Africa and South Asia, Dubai Media City is rapidly emerging as a global media hub. The City provides an advanced infrastructure and supportive environment for media-related businesses to operate globally out of Dubai.

Dubai Media City is the place where every kind of media business, specifically broadcasting, publishing, advertising, public relations, research, music, new media, production and post production can thrive. The facility offers an environment that allows companies and individuals to operate with collective synergy and individual freedom.

Dubai Media City has grown impressively into a community of over 520 companies (as of end of 2002). Major global companies include Reuters, CNN, CNBC, MBC, Sony Broadcasting and Professional, McGraw Hill and Lintas Lowe.

Dubai Media City houses a large community of freelance media professionals at its Media Business Centre. Freelancers find the centre an ideal base for gaining visibility and building relationships with the media industry.

Dubai Media City is expanding its infrastructure to provide more space for a richer and more diverse community of media companies. It is building commercial, residential, educational, medical and recreational facilities to enhance its range of services and enhance the quality of life of the members of its community.

Application Procedure for Dubai Media City                                                                                                  Individuals or entities interested in being part of the Dubai Media City are required to fill out an application form, which can either be downloaded from the Dubai Media City website( www.dubaimediacity.com) or obtained from its Sales Department (Tel: 3914555 or Fax 3914616).

 

 

Knowledge Village

Knowledge Village, the Dubai Technology and Media Free Zone's knowledge-focussed initiative, aims to create the infrastructure and environment for a variety of organizations and individuals to create and disseminate knowledge.

Knowledge Village seeks to provide the right conditions for the development of scholarship, education, training, ideas, creativity, innovation and entrepreneurial expertise. It offers a campus ambience with creatively stimulating and welcoming spaces for students, professionals, teachers, instructors, researchers and scientists to interact formally and informally.

A wide range of organizations will find the Knowledge Village the ideal base for their operations. These include: e-learning companies, education institutions, research and development organizations, corporate training institutions, innovation organizations, science and technology institutes, certification and testing organizations and incubators.

 

 

Dubai Future Projects

Dubai has recently completed several prestigious projects, while other key projects are underway, covering all vital fields. The achievements of Dubai can only be described as an anatomy of a business success story. Yet the ambitions of Dubai go far beyond its size and traditional business role as it is venturing into the industrial, tourist and information technology fields. Dubai’s hosting of the 2003 World Bank and International Monetary Fund meetings is yet another feather in the cap of Dubai’s successes.