Acquiring an import export code in Dubai can greatly benefit your business by allowing you to trade goods from the global trade hub to the international markets. A striking AED 1.4 trillion volume of non-oil trade from the businesses operating in the city of skyscrapers showcases their great growth.
Among the diverse industries thriving in the dynamic economy of the world’s busiest trade center, Dubai, the import-export industry is a vital one. Business owners and investors who wish to secure their presence as a legitimate import-export entity in the city must obtain this code. This blog will feature a complete guide featuring benefits and steps to obtain an import export code in Dubai.
What is an Import Export Code in Dubai?
IEC, or Customs Code, in Dubai, is a unique identity proof that businesses must have to acquire to conduct international trade from the most populated emirate of the UAE. Dubai Customs Department issued this unique identification number to businesses, which assists them in legally importing and exporting goods and clearing related customs. Businesses established in any jurisdiction must have the import code in UAE to legitimize their trade operations from the Emirates to other countries.
Importance of Import Export Code in Dubai:
An Import-Export code in Dubai is a mandatory authorization document for importing and exporting goods to and from the emirate. The IEC code is important for many reasons, including:
- Legal Compliance- An IEC is important to show compliance of a trading entity in Dubai with legal obligations and regulations.
- Customs Clearance- An IEC code is essential for businesses to clear the paperwork process for import-export of goods and clearing shipments through customs.
- Trade Legitimacy- The IEC code legalizes a trading entity in the most populated emirate of the UAE with Dubai customs.
- Reduce Customs Penalties- A valid IEC code ensures mitigation of the risk of costly customs penalties.
Benefits of Import Export Code in Dubai:
1. FTAs with GCC Nations-
An IEC code allows businesses in Dubai to benefit from the extensive free trade agreements with the nations in the Gulf Cooperation Council, Asia, Europe, and America. These agreements eliminate or reduce the tariffs, which makes import-export of goods more cost-effective. This greatly benefits in improving the market access for local products and services.
2. Streamlined Customs-
Import code in UAE allows businesses to access fast and simplified customs clearance processes, including customs declarations, shipping documentation, etc. Through this unique identification code, the customs clearance processes are completed within hours.
3. Sector-Specific Import Services-
The IEC code, the mandatory document to legalize global import-export business operations from the UAE, offers customized regulations, customs expertise, and storage solutions for specific industries, including automotive, technology, healthcare, etc.
4. Stable Currency-
By obtaining an export code in Dubai, businesses can take advantage of the stability of the UAE dirham, which is pegged to the US dollar and provides access to predictable exchange rates. Additionally, it greatly helps in decreasing the risk of currency fluctuations.
5. Duty-Free Exemptions-
The IEC code allows businesses to access the duty-free exemptions for re-exporting goods within a set timeframe, further solidifying the role of Dubai as a global distribution hub.
6. Enhanced Global Credibility-
The import export code in Dubai shows the commitment of a business to ensure compliance with regulations, which can improve its relationships with global partners and build its reputation as a trustworthy partner.
Eligible Applicants for an Import Export Code in Dubai:
The following applicants are eligible to apply for an import-export code in Dubai, UAE:
- Businesses with Valid Trade Licenses- The business entities in Dubai acquiring a valid business license issued by the Dubai Economic Department or a Free Zone Authority in Dubai can apply for an IEC code.
- Freight and Logistics Companies- The freight and logistics companies in Dubai that offer logistic services to ship or transport goods to and from other countries are eligible applicants for an IEC code.
- Importers and Exporters- Other eligible applicants for an IEC code in Dubai are importers and exporters who indulge in bulk, wholesale, or retail trading of goods.
- Manufacturers and Traders- Manufacturers and traders who indulge in the import of raw materials and re-export of finished products can apply for an IEC code.
- Import and Export Consultants- Consultancy firms offering import and export solutions to businesses can also apply for this unique identification number in Dubai.
Steps to Obtain an Import Export Code in Dubai:
- Before applying for an IEC code, you must become an eligible applicant for it by acquiring a valid trade license from FZA or DED in Dubai.
- The second step will be registering your business with the Customs Authority in your operating emirate, which legitimizes your trading operations in the UAE.
- After customs registration, the next step is to gather documents needed to be attested with the application for an IEC code in Dubai, including a trade license copy, an undertaking letter, a passport copy, etc.
- In the fourth step, you need to log into the Customs Authority Portal, fill out the application form, and upload the necessary documents. After making a payment from the portal’s secure payment gateway, you’ll receive an estimated timeline for processing.
- Once your application for the import export code in Dubai is approved, you’ll receive legal authorization to conduct international importing and exporting operations from the city.
Connect with SAB India to Obtain an IEC Code in Dubai:
Connect with Start Any Business, the leading setup consultancy firm in India for obtaining an IEC code in Dubai. With years of experience in the industry, we have the right expertise to assist you in navigating through the complex process of applying for and obtaining the Customs Code in the Emirates’ most populated emirate.
The team of experts, one of the leading business setup consultants in Dubai, has in-depth knowledge of the process for applying for an IEC code and guarantees complete assistance and customized solutions to our clients. Make an informed decision by making SAB, India, your reliable partner for acquiring an IEC code in the Emirates.
Also Read : How to Start a Financial Consultancy Company in Dubai
