How To Set Up A Manufacturing Company In The UAE

May 31, 2024

The UAE has a growing manufacturing sector, and it’s becoming increasingly diversified. While there are a few large manufacturing companies in the region, SMEs have cemented their space in the market as well. 

For entrepreneurs looking to enter this vast space, it’s important to understand what kind of manufacturing you want to specialize in. For example, if you want to manufacture general-purpose machinery, we’d recommend business activity group 281. Similarly, to manufacture watches and clocks, we recommend perusing through business activity group 265, and group 310 to manufacture furniture. 

But if your business involves manufacturing goods that are more specific yet do not fall under a broad category such as toys, electronics, or sporting goods, we recommend perusing through group 329 – Other Manufacturing Not Elsewhere Classified.

Under this group, companies can produce a wide range of items that are incredibly useful for specific industries and regular consumer purposes. SPC Free Zone provides all these licenses instantly, along with a guaranteed banking account in three working days and unlimited visas for investors, partners, and employees. 

Here are some popular activities you can choose under this group.

Note that the following items cannot be manufactured with any licenses below (3290.07, 3290.10, 3290.16, 3290.17, 3290.20):Lighter wicksWorkwear and service apparel Paper noveltiesPlastic novelties

3290.07 – Manufacture of metal safety headgear and other metal personal safety devices

Metal safety headgear and other personal safety devices are typically crafted from various metals like aluminum, steel, or titanium. This is usually decided based on factors such as weight, strength, and corrosion resistance.

Some manufacturers might specialize in custom-made metal safety gear for specific industries or applications. Metal safety headgear could include hard hats, bump caps, and welding helmets. It could also be applied for sports helmets as well. 

Meanwhile, metal personal safety devices can include greaves, or shin guards, metal mesh gloves, and finger cots. Industrial manufacturing of metal devices such as these must focus on ensuring that relevant safety standards are always met, along with high-precision crafting. 

  • Third-party Approval: No third-party approvals are required for this business activity 
  • Filing of Economic Substance Return: Business activity 3290.07 is exempt from this requirement
  • Anti-Money Laundering Compliance: Business activity 3290.07 is exempt from this requirement

3290.10 – Manufacture of brooms and brushes, including brushes constituting parts of machines, hand operated mechanical floor sweepers, mops and feather dusters, paint brushes, paint pads and rollers, squeegees and other brushes, brooms, mops etc.

Brooms and brushes, despite their seemingly simple nature, involve a fascinating manufacturing process. Bristles can be made from various materials like natural fibers, synthetic fibers, or metal wires. The stock is the part of the broom or brush that holds the bristles and can be made of wood, plastic, or metal. Meanwhile, the handle enables ease of use. 

The process of creating these items involves bristle preparation, stock and handle manufacturing, bristle filling (which could be done through hand filling, channel filling, or machine filling methods), assembly, and finishing. 

This process, of course, varies based on the type of product being manufactured. For example, each paint brush requires different specifications. Generally, flagged or tapered ends are necessary here. Meanwhile, mop heads might involve microfiber or cotton for efficient cleaning. On the other hand, machine brushes might involve complex shapes or a combination of different bristle types.  

Brooms, brushes, mechanical floor sweepers, mops, feather dusters, paint brushes, paint pads and rollers, squeegees, and other brushes, brooms, and mops are all enabled under this activity. For cleaning companies, artists, and any other establishment that uses cleaning products such as hotels and restaurants, these items are incredibly useful.

  • Third-party Approval: No third-party approvals are required for this business activity 
  • Filing of Economic Substance Return: Business activity 3290.10 is exempt from this requirement
  • Anti-Money Laundering Compliance: Business activity 3290.10 is exempt from this requirement

3290.16 – Manufacture of umbrellas, sun-umbrellas, walking sticks, seat-sticks

In the UAE’s hot weather, umbrellas are always a necessity. They’re also a fun accessory and come in various different types, such as classic, artistic, child, cantilever, bubble, automatic, golf, travel, and miniature. Sun umbrellas, specifically, specialize in keeping the sun’s rays away, while standard umbrellas are just as useful for rain, hail, and snow. Sun umbrellas may have additional features such as vented canopies for ventilation or special coatings for enhanced UV protection. 

Apart from these, umbrellas are also used at tables, beach chairs, and in garden furniture. With these diverse uses, it’s important to know that manufacturing is a layered process as well. Canopy fabric is selected and cut into the signature shape, followed by frame construction, rib attachment, handle production, and runner and tip attachment.

Meanwhile, walking sticks and seat-sticks are used by the elderly, disabled individuals, hikers and climbers, as stage props, farmers, and travelers. Apart from the canopy, their production process is quite similar to umbrellas, with the exception of the seat mechanism that’s required for seat-sticks.

  • Third-party Approval: No third-party approvals are required for this business activity 
  • Filing of Economic Substance Return: Business activity 3290.16 is exempt from this requirement
  • Anti-Money Laundering Compliance: Business activity 3290.16 is exempt from this requirement

3290.17 – Manufacture of buttons, press-fasteners, snap fasteners, press-studs, slide fasteners

These items are Incredibly useful for the apparel industry, shoe and accessory manufacturers, regular consumers, designers, and tailors. Buttons, press-fasteners, and slide fasteners, though small, play a significant role in keeping clothes together – both functionally and aesthetically. 

Button creation is a straightforward process, involving molding, shaping, and finishing. Designs and colors, of course, can be incredibly diverse. For press-fastener production, metal components such as snaps or studs must be stamped, machined, or forged. Assembly involves bringing together various parts to create the final snap fastener. 

Meanwhile, slide fasteners, or zippers, are produced through a 3-step process. This involves tape production, teeth attachment, and slider assembly. Zippers are incredibly useful items in a variety of apparel products, including bags. These items are often purchased by apparel companies in bulk.

  • Third-party Approval: No third-party approvals are required for this business activity 
  • Filing of Economic Substance Return: Business activity 3290.17 is exempt from this requirement
  • Anti-Money Laundering Compliance: Business activity 3290.17 is exempt from this requirement

3290.20 – Manufacture of miscellaneous articles: candles, tapers and the like; bouquets, wreaths and floral baskets; artificial flowers, fruit and foliage; jokes and novelties; hand sieves and hand riddles; tailors’ dummies; burial caskets etc.

Under this activity, manufacturers can create a wide range of items. These include: 

  • Candles and candle tapers
  • Bouquets, wreaths, floral baskets
  • Artificial flowers
  • Fruit and foliage 
  • Jokes and novelties
  • Hand sieves and hand riddles
  • Tailors’ dummies
  • Burial caskets

A large number of these goods are usually sold in the home decor section of large stores, or can even be purchased at smaller stores. Funeral homes and party shops both use a wide variety of these items, from flowers to burial caskets. 

We recommend that aspiring manufacturers pay close attention to minor items that may fall under this license, as they may be required when manufacturing large-scale items that fall under a different license umbrella altogether.

  • Third-party Approval: No third-party approvals are required for this business activity 
  • Filing of Economic Substance Return: Business activity 3290.20 is exempt from this requirement
  • Anti-Money Laundering Compliance: Business activity 3290.20 is exempt from this requirement

Did you find what you were looking for? Explore the other guides in our Activity Hub for exploring unique business ideas in Dubai and navigate the essentials of business setup with ease.

You can also calculate your business setup costs easily using our handy cost calculator and choose from our customized company setup packages to find your perfect fit.

Get your business license in the UAE today and explore a world of opportunities waiting for you.

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