The UAE’s postal service industry has undergone significant transformation in recent years, driven primarily by the rapid growth of e-commerce and the country’s strategic location as a global logistics hub. Regional and global companies play a large role in this market.
Postal service providers have invested heavily in technology to support the growing e-commerce market, including advanced tracking systems, automated sorting facilities, and partnerships with online marketplaces. Alongside this, the UAE government has implemented a supportive regulatory environment for the postal service industry, including licensing requirements, quality standards, and dispute-resolution mechanisms. With these regulations in place, there is a high demand for postal service businesses. The following business activities refer to postal services operating under a universal service obligation. The delivery can include letter-post, letters, postcards, printed papers (newspaper, periodicals, advertising items, etc.), small packets, goods or documents. Other services that are necessary to support these activities come under here too.
For entrepreneurs who want to join this industry, here are the business activities you can choose under your business license.
5310.01 – Pickup, sorting, transport and delivery (domestic or international) of letter-post and (mail-type) parcels and packages by postal services operating under a universal service obligation.
Universal postal services refer to the core services provided by postal operators, often under a government mandate or obligation. These services typically include the pickup, sorting, transport, and delivery of letter-post and mail-type parcels and packages within a country or internationally.
These services are designed to reach all areas of a country, including remote or underserved regions. Postal operators often offer standardised rates for basic services to ensure affordability and accessibility. Letter delivery, parcels, postcards, registered, and express mail all come under this service. One or more modes of transport may be involved and the activity may be carried out with either self-owned (private) transport or via public transport.
This class excludes postal giro, postal savings activities, and money order activities.
Third-party Approval: This business activity does not require third-party approval.
Filing of Economic Substance Returns: This business activity needs to meet ESR requirements.
Anti-Money Laundering Compliance: This business activity needs to meet AML requirements.
5310.02 – Collection of letter-mail and parcels from public letter-boxes or from post offices
Letter and parcel collection is a fundamental aspect of postal services, involving the gathering of mail items from public letter boxes or directly from post offices. This process ensures that mail reaches its intended recipients efficiently and reliably. Key activities include regular collection, sorting and processing, and following security measures. Daily pickups, rural collection, post office drop-offs and business mail collection all fall under this.
This class excludes postal giro, postal savings activities, and money order activities.
Third-party Approval: This business activity does not require third-party approval.
Filing of Economic Substance Returns: This business activity needs to meet ESR requirements.
Anti-Money Laundering Compliance: This business activity needs to meet AML requirements.
5310.03 – Distribution and delivery of mail and parcels – Postal Service
Distribution and delivery of mail and parcels is the final stage of the postal process, involving the transportation and delivery of items to their intended recipients. This activity is crucial for ensuring that mail reaches its destination efficiently and on time. This business includes a range of activities, from sorting and routing to transportation, and delivery including various delivery methods to residential, business, and rural delivery locations.
This class excludes postal giro, postal savings activities, and money order activities.
Third-party Approval: This business activity does not require third-party approval.
Filing of Economic Substance Returns: This business activity needs to meet ESR requirements.
Anti-Money Laundering Compliance: This business activity needs to meet AML requirements.
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