Jebel Ali Free Zone, Dubai — the Jafza headquarters office buildings with the JAFZA View towers behind

Business Setup in UAE · Dubai · Jebel Ali

JAFZA company setup (Jebel Ali Free Zone)

Last updated: August 2026 · Reviewed by the Stevva setup team

The UAE's oldest and largest free zone, operated by DP World beside Jebel Ali Port — the Middle East's busiest container terminal. Purpose-built for trading, logistics and manufacturing, and a VAT designated zone, which can keep qualifying goods movements outside UAE VAT. Stevva handles your JAFZA setup end to end — license, facility, customs codes, visas and the annual audit — at a fixed fee agreed before we start.

1985
The UAE's first free zone, operated by DP World
9,700+
Companies from 100+ countries
Designated zone
Special VAT treatment for qualifying goods
100%
Foreign ownership & profit repatriation

What it is

What is JAFZA (Jebel Ali Free Zone)?

JAFZA — the Jebel Ali Free Zone — is the UAE's oldest and largest free zone, established in 1985 and operated by global ports group DP World. It sits directly beside Jebel Ali Port, the largest man-made harbour in the world and the busiest container port in the Middle East, and connects to Al Maktoum International Airport (DWC) through a bonded logistics corridor. More than 9,700 companies from over 100 countries operate from JAFZA, and the zone accounts for a substantial share of Dubai's trade and GDP.

Three things define JAFZA:

  1. The port. No other UAE free zone puts your warehouse next to a top-ten global container terminal, with sea–air connectivity to Al Maktoum airport through a single bonded corridor. If your business moves physical goods at volume, this is the infrastructure everything else is compared against.
  2. Designated-zone VAT status. JAFZA is on the UAE Cabinet's list of designated zones. Qualifying supplies and movements of goods within and between designated zones can fall outside the scope of UAE VAT, subject to conditions — a genuine cash-flow and pricing advantage for trading businesses that zones like DMCC, IFZA and Shams cannot offer. (Services and non-qualifying supplies follow normal VAT rules.)
  3. Industrial scale. Warehouses, showrooms, plots for purpose-built factories, labour accommodation and on-site customs — JAFZA licenses operations that flexi-desk zones simply can't house.

Honest fit check

Is JAFZA the right free zone for you?

JAFZA is the right choice when your business is built around physical goods and the port pays for itself. Here's the honest picture.

Good fit

  • Importers, exporters and distributors — regional distribution hubs re-exporting across the Gulf, Africa and South Asia, with duty deferred while goods sit in the zone.
  • Manufacturers and processors — industrial licenses with plots and purpose-built facilities, from light assembly to full production.
  • Logistics and freight businesses — 3PLs, forwarders and supply-chain operators living off the port and the DWC corridor.
  • Goods traders who benefit from designated-zone VAT treatment — where qualifying zone-to-zone movements staying outside VAT scope improves cash flow and pricing.
  • Multinationals building a Middle East supply-chain base — JAFZA hosts a large share of the Fortune 500's regional operations for a reason.

Look elsewhere if…

  • You're a services or consulting business. You'd be paying for port infrastructure you'll never use — IFZA delivers a Dubai service license at a fraction of the cost, and Shams for less again.
  • You want a lean, desk-only setup. JAFZA requires a physical facility with every license and offers no virtual-office route; budget zones do this cheaper.
  • Your customers are mostly UAE mainland consumers. The usual free zone limits apply — direct mainland sales generally need a distributor or a dual-license arrangement; consider mainland setup if most revenue is onshore.
  • You need an asset-holding vehicle, not an operating company. That's what the separate JAFZA Offshore regime is for — see the callout below.

If JAFZA isn't the fit, we'll say so and shortlist the zone that is — we work across 40+ zones.

Licenses

JAFZA license types

Trading License

Import, export, storage and distribution of specified product groups. The standard choice for defined product ranges.

General Trading License

A wider, largely unrestricted range of goods under one license. Costs materially more (~AED 25,000–35,000/year) and suits multi-category traders.

Service License

Professional and support services performed within the zone, from consultancy to technical services.

Industrial / National Industrial License

Manufacturing, processing and assembly. Requires a warehouse or plot (a flexi-desk doesn't qualify), and the National Industrial variant can confer GCC customs advantages for qualifying production.

Logistics License

Freight forwarding, storage, distribution and supply-chain services around the port.

E-commerce License

Online retail and marketplace models fulfilled from zone facilities.

Transparent pricing

What JAFZA company setup really costs in 2026

At JAFZA, the license fee is rarely the biggest line item — the facility is. That's why two companies with the same license can pay AED 40,000 or AED 150,000 in year one. Build the budget line by line:

First-year cost builder

Office-based trading setup · 2 visas · indicative AED
ItemIndicative AEDNote
Trading license (specified products)from ~5,500Annual; general trading runs ~25,000–35,000
Registration & incorporation fees~5,000–10,000One-time; varies by legal form
Establishment card~1,975Renews ~1,910
Flexi-desk (minimum facility)~15,000Annual; supports ~2–3 visas
Residence visas, 2 persons (permit, medical, Emirates ID, stamping)~7,000–10,000~AED 3,500–5,000 per person
Realistic first-year total — office-based, 2 visas~AED 40,000–55,000Excludes insurance

Worked example — warehouse-based distributor

General trading license (~AED 30,000) + 300 sqm warehouse (from ~AED 48,000; temperature-controlled units run AED 85,000+) + establishment card + 5 visas ≈ AED 100,000–150,000 first year — with a visa quota that scales with the floor area and customs at the gate. This is the honest JAFZA math: you're buying infrastructure, not a certificate.

  • Visa quota runs at roughly 1 visa per 9 sqm of facility.
  • Regulated or specialised activities may need external approvals at additional cost.
  • Renewal years drop the one-time items but add the annual audit (see ongoing costs) and facility renewal.
  • Mandatory health insurance per visa holder is separate (from ~AED 600/person for basic cover).

Figures are indicative, based on current market rates and JAFZA's published guidance in AED as of August 2026. JAFZA applies a detailed tariff that varies by license type, activity group and facility, and amends it without notice. Your Stevva quote itemises the exact current JAFZA fees for your specific structure, plus our professional fee — one fixed, all-inclusive number agreed before we start.

Your facility decides your cost and visa quota

At JAFZA the facility is the decision that sets almost everything else: what you pay, how many visas you can sponsor, and which licenses you're eligible for.

FacilityBest forTypical visa quotaIndicative annual cost
Flexi-deskTraders without storage needs~2–3~AED 15,000
Executive suite / officeTeams running port-adjacent operationsscales with size~AED 18,000–50,000
Shared / standard warehouseDistribution & light industrial~1 per 9 sqmfrom ~AED 48,000 (temperature-controlled AED 85,000+)
Plot (land lease)Purpose-built factories & yardsproject-basedquoted per sqm

Visa quota runs at roughly one visa per 9 sqm of facility space.

The JAFZA advantage

Customs and VAT: why goods businesses choose JAFZA

Two regimes work together at JAFZA, and understanding them is most of the reason the zone exists.

Customs

Goods imported into JAFZA are held duty-free while they remain in the zone — customs duty applies only if and when goods enter the UAE mainland. Re-exports to the Gulf, Africa and Asia never trigger UAE duty at all. Customs sits on-site, and your JAFZA license comes with the importer/exporter codes your forwarder needs.

VAT designated-zone status

JAFZA is on the UAE Cabinet's designated-zone list. Under the VAT rules, qualifying supplies of goods within JAFZA, and qualifying movements of goods between designated zones, can be treated as outside the scope of UAE VAT — meaning no 5% VAT on those transactions, subject to conditions on the goods' use and movement. Services, and any supply that doesn't meet the conditions, follow normal VAT rules, and mainland-bound goods attract import VAT on entry.

Visas

JAFZA visa costs and quotas

Your JAFZA visa quota is set by your facility at roughly one visa per 9 sqm: a flexi-desk supports around 2–3 visas, while warehouses and plots support quotas in the tens. Each residence visa costs approximately AED 3,500–5,000 end to end — entry permit, medical, Emirates ID and stamping — with health insurance separate. Dependents can be sponsored once income thresholds are met, and the 180-day entry rule applies to every visa holder.

For industrial operators, JAFZA also accommodates larger workforces — including labour accommodation options within the zone — which is part of what makes it viable for genuine manufacturing rather than just trading desks. Size the facility to your 18-month hiring plan; upgrading later costs more than planning right.

Timeline

How long does JAFZA company setup take?

A JAFZA license typically issues within 7–14 business days of complete documents and approvals. A fully operational company — facility handed over, customs codes live, visas stamped, bank account open — realistically takes 6–8 weeks, with bank account opening and facility fit-out (for warehouses) as the long poles.

How Stevva runs it

1 Day 0

Scope & fixed quote

We confirm your activities and license type, size the facility to your goods flow and visa plan, model the designated-zone VAT treatment of your transactions, and send one fixed, all-inclusive quote.

2 Week 1

Application & name approval

Trade name, application and shareholder KYC through the JAFZA portal; we prepare the file so it passes first time.

3 Weeks 2–3

Facility & license

Facility lease signed, MoA executed, fees paid — JAFZA issues your license, certificate of incorporation and establishment card. Customs registration follows so goods can move.

4 Weeks 3–6

Visas & bank account

Entry permits, medicals, Emirates IDs and stamping for your team; in parallel we prepare your bank file and support the corporate account opening.

5 Ongoing

Operations & compliance

VAT registration structured for designated-zone flows, corporate tax registration, bookkeeping, the annual audit JAFZA requires at renewal, and your license/facility renewals — one firm, end to end.

Documents

Documents you need for a JAFZA license

Individual shareholders / managers / directors

  • Colored, clear passport copy (valid 6+ months)
  • UAE entry stamp or residence visa copy, if applicable
  • Passport-size photo (white background)
  • CV and, for some activities, a brief business plan or summary of operations

Corporate shareholders

  • Certificate of incorporation, memorandum & articles of the parent
  • Certificate of incumbency / good standing
  • Board resolution approving the JAFZA company and appointing the authorized signatory
  • Audited financials of the parent (commonly requested)
  • Passport documents for the authorized signatory
  • Corporate documents generally require attestation to UAE standards — we manage legalisation end to end.

Good to know

  • Industrial applications include a project summary (production process, machinery, power/space needs) — we prepare this with you.
  • Specialised goods (food, pharma, chemicals, telecom equipment) may need external regulator approvals before trading.
  • Share capital requirements vary by legal form and activity — we confirm the current requirement for your structure at the scoping stage rather than quoting a generic figure.

The costs nobody shows you

JAFZA renewal, audit and ongoing costs

JAFZA is a jurisdiction with real annual obligations. Budget the lifecycle, not just year one:

  • License & facility renewal — annual license fee plus facility lease renewal; establishment card renews at ~AED 1,910.
  • Annual audit — JAFZA requires audited financial statements from FZE/FZCO companies, submitted in connection with license renewal. Budget roughly AED 5,000–15,000 depending on activity and volume; a goods business with inventory sits at the upper end. Missing the filing stalls renewal and accrues penalties.
  • Insurance — health insurance per visa holder renews annually; warehouse operators add property and goods-in-transit cover.
  • Customs & VAT compliance — designated-zone treatment must be maintained transaction by transaction; sloppy documentation converts an advantage into an FTA assessment.
  • Exit — formal deregistration involves clearing customs liabilities, cancelling visas, closing the facility lease and establishment card, and final accounts. Never abandon a license — penalties compound.

This is where Stevva's model earns its keep: our audit and accounting teams keep a goods business's books — inventory, landed costs, zone movements — audit-ready through the year, produce the audited financials JAFZA requires, and file renewals on time.

Tax

Corporate tax and VAT for JAFZA companies

A JAFZA company is not tax-exempt by default. The accurate 2026 position:

Corporate tax

Every JAFZA company must register for UAE corporate tax and file annual returns. Free zone companies can access the 0% rate on qualifying income as a Qualifying Free Zone Person (QFZP) — and JAFZA businesses are often well placed here, because trading in goods from a designated zone and manufacturing are among the activity types the QFZP rules treat favourably, subject to substance, transfer pricing and de-minimis conditions. Get the structure wrong and the standard 9% applies above the threshold.

VAT

JAFZA's designated-zone status can put qualifying goods movements outside VAT scope (see the customs & VAT section above) — but VAT registration itself is still mandatory once taxable supplies exceed AED 375,000/year, and services plus non-qualifying supplies follow normal rules.

Books

Between corporate tax, VAT documentation for zone movements, and JAFZA's audit requirement, proper accounting is mandatory three times over.

Stevva's tax arms handle corporate tax registration and filing — including QFZP assessment for zone traders and manufacturers — VAT compliance structured for designated-zone flows, and bookkeeping, with our audit team closing the loop JAFZA requires each year.

Why Stevva

Why founders use Stevva for JAFZA setup

One fixed fee, agreed first.

JAFZA's fees mapped to your exact license and facility, our professional fee stated plainly, nothing added later.

We speak goods.

Customs codes, designated-zone VAT flows, inventory accounting, landed costs — the compliance layer of a trading business is our home turf, not an afterthought.

Built for JAFZA's audit model.

Annual audited financials are mandatory here. Stevva's accounting and audit teams handle them in-house, so renewal never becomes a fire drill.

Straight answers on zone choice.

If you don't need the port — if IFZA serves you at a third of the cost, or mainland fits your customers better — we'll say so before you spend. We work across 40+ zones and aren't paid to push one.

Dubai-based, responsive.

Real advisors on WhatsApp and phone, Mon–Fri 9–18 GST.

Get started

Get a fixed quote for your JAFZA company.

Tell us what you trade or make, the facility you need and your visa plan. We'll reply within one business day with a fixed, all-inclusive quote — JAFZA's fees itemised for your structure, our fee stated plainly.

Facility needed
Thank you — we've got your details.
A Stevva setup advisor will reply within one business day with your fixed JAFZA quote.

Quick answers

JAFZA — frequently asked questions

How much does a JAFZA license cost in 2026?

A JAFZA trading license for specified products starts from roughly AED 5,500 per year, while a general trading license runs about AED 25,000–35,000. But the license is rarely the biggest cost: every JAFZA company must lease a physical facility, from a flexi-desk (~AED 15,000/year) to warehouses (from ~AED 48,000/year). A realistic office-based first year with two visas is around AED 40,000–55,000; warehouse-based operations typically run AED 100,000–150,000. Stevva quotes the exact current fees for your structure.

What is JAFZA best known for?

Jebel Ali Free Zone is the UAE's oldest and largest free zone, established in 1985 and operated by DP World, sitting directly beside Jebel Ali Port — the Middle East's busiest container terminal. It's the region's default jurisdiction for import/export, distribution, logistics and manufacturing, with warehouses, plots, on-site customs and a bonded corridor to Al Maktoum International Airport that no desk-based free zone can match.

Is JAFZA a designated zone for VAT?

Yes — JAFZA is on the UAE Cabinet's designated-zone list, unlike DMCC, IFZA or Shams. Qualifying supplies and movements of goods within JAFZA and between designated zones can be treated as outside the scope of UAE VAT, subject to conditions on the goods' use and movement. Services and non-qualifying supplies follow normal VAT rules, and goods entering the mainland attract import VAT. The conditions are strict, so the flows need structuring and documenting correctly — that's part of our setup scope.

Do I need a physical office or warehouse in JAFZA?

Yes. Every JAFZA license requires a leased facility in the zone — flexi-desk, office, warehouse or plot — and there is no virtual-office route. Your facility also sets your visa quota at roughly one visa per 9 square metres, which is why facility choice is the single biggest cost and capacity decision in a JAFZA setup.

How many visas can I get with a JAFZA license?

The quota scales with your facility at about one visa per 9 sqm: roughly 2–3 on a flexi-desk, more in offices, and quotas in the tens for warehouses and plots. Each visa costs approximately AED 3,500–5,000 end to end (entry permit, medical, Emirates ID, stamping) plus health insurance, dependents can be sponsored once income thresholds are met, and the 180-day entry rule applies.

How long does JAFZA company setup take?

The license typically issues within 7–14 business days of complete documents. A fully operational company — facility handed over, customs codes live, visas stamped and bank account open — realistically takes 6–8 weeks, with banking and warehouse fit-out as the slowest steps.

What legal forms does JAFZA offer?

An FZE (single shareholder), an FZCO (2–50 shareholders), or a branch of an existing UAE or foreign company. Separately, JAFZA operates an offshore regime for non-resident holding companies — a different product with no visas and no operating license.

What is a JAFZA Offshore company?

JAFZA Offshore is a non-resident company used for international holding, asset protection and property ownership — notably, it's one of the few offshore vehicles permitted to own Dubai real estate. It must be formed through a registered agent, has no office or staff, grants no UAE residence visas, and typically costs AED 10,000–20,000 to incorporate plus annual agent renewal. If you need a holding structure rather than an operating business, it's often the right tool — we set up both.

Does a JAFZA company need an audit?

Yes — JAFZA requires FZE and FZCO companies to submit audited financial statements in connection with license renewal. Budget roughly AED 5,000–15,000 per year depending on activity and volume; goods businesses with inventory sit at the upper end. Stevva's accounting and audit teams keep your books audit-ready year-round and handle the filing so renewal never stalls.

Can a JAFZA company sell to the UAE mainland?

A JAFZA company trades freely internationally and within free zones, but selling goods directly into the UAE mainland generally requires a local distributor or a dual-license arrangement, with customs duty and import VAT applying as goods enter the mainland. If most of your revenue will come from onshore UAE customers, a mainland license is usually the better structure — we'll tell you honestly which fits.

What's the difference between a JAFZA trading license and a general trading license?

A trading license covers specified product groups you name in the application, from ~AED 5,500 per year. A general trading license covers a largely unrestricted range of goods under one license at ~AED 25,000–35,000 per year. If you trade a defined product range, the specific license is far cheaper; if your catalogue is broad and shifting, general trading earns its premium.

Do JAFZA companies pay corporate tax?

Every JAFZA company must register for UAE corporate tax and file annual returns. Free zone companies can access the 0% rate on qualifying income as a Qualifying Free Zone Person — and JAFZA businesses are often well placed, because trading in goods from a designated zone and manufacturing are treated favourably under the QFZP rules, subject to substance and de-minimis conditions. Otherwise the standard 9% applies above AED 375,000 of taxable income. We assess QFZP eligibility as part of setup.

JAFZA vs DMCC — which should I choose?

Different tools: JAFZA is port-side infrastructure for businesses that move goods — warehouses, customs at the gate, designated-zone VAT treatment; DMCC is a JLT-based ecosystem prized for commodities trading desks, crypto and corporate credibility. A physical distributor with containers arriving weekly belongs in JAFZA; a commodities trading office with no warehouse often fits DMCC. We quote both side by side on request.

JAFZA vs IFZA — which should I choose?

If you're a service business, consultant or lean SME, IFZA delivers a Dubai license at roughly a third of JAFZA's realistic first-year cost — JAFZA's premium buys port and warehouse infrastructure you wouldn't use. If you import, export, store or manufacture goods, IFZA can't house the operation and JAFZA is the natural home. The honest test is whether your business plan includes cargo.

Can I set up a manufacturing plant in JAFZA?

Yes — that's what the industrial licenses and land plots are for. JAFZA supports genuine manufacturing: purpose-built facilities on leased plots, warehouses for processing and assembly, larger visa quotas for the workforce, and the National Industrial License route for qualifying production. Industrial applications include a project summary (process, machinery, utilities), which we prepare with you.

Do I need to be in Dubai to set up a JAFZA company?

Much of the process runs through JAFZA's online portal and can be handled remotely or by power of attorney, but a JAFZA setup is inherently physical: facility selection and handover, bank account opening, and each visa holder's medical and Emirates ID biometrics happen in the UAE. Plan at least one trip, timed around license issuance — we sequence it so one visit covers everything.