Gold Trade License in UAE - Top Suppliers and Brands UAE

Gold Trade Regulation and Licensing in UAE and Dubai

The UAE and Dubai have emerged as key hubs for the global gold trade, with a significant portion of the world's gold passing through these regions. The Dubai Multi Commodities Center (DMCC) is the government entity responsible for overseeing the gold industry, including the Dubai Gold and Commodities Exchange (DGCX). The DMCC has implemented various regulations for gold traders in Dubai, such as Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements.

A few years ago, the UAE's Federal Tax Authority introduced a Value Added Tax (VAT) of 5% on the supply of goods and services, including gold.

To engage in gold trading in the UAE and Dubai, traders must obtain a license from the relevant regulatory bodies. To secure a license, gold traders must demonstrate their expertise and experience in the gold trade. They must also comply with the regulations set forth by the DMCC and the Federal Tax Authority. The stringent regulations enforced by the DMCC ensure a fraud-free and secure trading environment, attracting international customers and investors to the gold trade.

We have a list of the leading gold trade license contractors in the UAE.

How to Start a Gold Business in Dubai

Introduction to Gold Business in Dubai

The gold trading business in Dubai operates under a commercial license, which also includes the resale of adornment jewellery such as titanium, silver, platinum, and palladium. If the trading is a mainland license, a local sponsor must hold 51% of the license, while the remaining 49% belongs to the foreign expat or investor. Approval from the Department of Economic Development (DED) and approval from the Security Industry Regulation Authority (SIRA) is essential. SIRA is responsible for ensuring the security and safety of the shops on the mainland.

Steps and Process to Obtain a Gold Trading License

Below are the processes and steps to obtain a gold trading license in Dubai:

• Pre-Approval: This includes obtaining initial approval and reserving the trade name.
• SIRA Approval: Submit an online application for SIRA approval.
• MOA Application: Apply for the Memorandum of Association (MOA) after SIRA inspection and receiving the NOC.
• Signing Legal Documents: Complete the registration process by signing the necessary legal documents.
• Office Finalization: Secure and finalize the office space.
• Payment Voucher: Obtain a payment voucher from the Department of Economic Development (DED).
• Trade License Issuance: Receive the trade license.
• Establishment Card and Visas: Apply for the establishment card and necessary visas.

Key Documents for New Entrepreneurs

For the Freezone jewellery trading license, the investor must submit the following documents:

• Passport copy
• Home address
• Contact details
• Visit visa/ NOC from sponsor
• Residence visa copy
• Emirates ID
• Application forms and document resolutions

For the mainland license, the required document for the local sponsor includes

• Passport copy
• Family Book
• Emirates ID

Foreign expat documents

• Passport copy
• Visa page
• Bank statement

Cost of Gold Trading License

The cost of a gold trading license in Mainland Dubai is AED 11,000 for the commercial license itself, excluding Ejari, MOA, and pre-approval fees. Taking all approvals into account, the total cost for a jewellery trading license in Mainland Dubai ranges from AED 30,000 to AED 35,000.

For a Freezone jewellery trading license, the starting cost is AED 20,000 plus the registration fee. If opting for a flexi desk option, the cost is approximately AED 30,000. Costs vary by free zone, with Dubai free zones generally being more expensive compared to those in Fujairah and other emirates.