How to Set Up an Agricultural Material and Live Animals Business in the UAE

June 6, 2024

Establishing an agricultural material and live animals business in the UAE presents both challenges and opportunities within the unique landscape of the country. With its desert climate and limited natural resources, the UAE heavily relies on imports for food and agricultural materials, creating a robust market for international trading companies that specialise in importing and distributing these products.

While the government has initiated efforts to promote local agriculture through initiatives like vertical farming and farmer subsidies, these endeavours are still in their infancy and have yet to significantly impact the market. However, with the UAE aiming to decrease its reliance on imported food and bolster food security, there’s potential for increased investments in local production, niche food businesses, and the adoption of innovative agricultural technologies, such as vertical farming methods.

Moreover, a discernible shift in consumer preferences towards organic and sustainably sourced agricultural products has emerged, paving the way for niche markets that cater to these demands. Simultaneously, the proliferation of online platforms for agricultural trade presents a convenient avenue for entrepreneurs to tap into broader customer bases while offering a diverse range of agricultural materials and products.

If you are someone who wants to tap into the Agricultural Material and Live Animals Business, here are a few business activities you can choose:

0140.00 Animal production

This encompasses the raising and breeding of all animals except aquatic species. This includes activities such as raising animals for meat production and breeding them for the purpose of selling either the animals themselves or their offspring. It also involves maintaining animal husbandry practices to ensure the health and welfare of the animals under care.

However, certain activities are excluded from this classification. These include breeding support services like stud services, which provide breeding assistance to animal owners, and farm animal boarding and care services. Additionally, the production of hides and skins from slaughterhouses is not included in this classification.

  • Third-party Approval: This business activity does not need third party approval.
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity is exempt from this requirement.

0142.01 Raising and Breeding of Horses (Including Racing Horses), Asses, Mules or Hinnies

This encompasses the raising and breeding of horses, including racing horses, as well as asses, mules, or hinnies. This includes activities such as breeding these animals for specific purposes, such as racing, work, or companionship. It involves the care and management of these animals from birth to adulthood, ensuring their health, welfare, and suitability for their intended use.

While it includes the breeding and raising of horses, it does not encompass the business of operating facilities specifically for racing or riding activities. 

  • Third-party Approval: This business activity does not need third party approval.
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity is exempt from this requirement.

4610.03 Such agents involved in the sale of Agricultural raw materials, live animals, textile raw materials and semi-finished goods, and other various items

This encompasses a variety of activities related to the sale of goods conducted on behalf of others. It includes commission agents and wholesalers who facilitate commercial transactions between buyers and sellers, acting as intermediaries on behalf of a principal. These agents play a crucial role in bringing together parties involved in the sale of various products, including agricultural raw materials, live animals, textile raw materials, and semi-finished goods. Moreover, they engage in transactions spanning a wide range of industries, from fuels, ores, and metals to food, beverages, and tobacco, as well as machinery, furniture, household goods, and more.

Additionally, this classification includes wholesale auctioneering houses, further emphasising the broad scope of activities involved in facilitating commercial transactions on behalf of others. 

However, certain activities are excluded from this classification to ensure clarity and delineation. This includes wholesale trade conducted in the agent’s own name, activities related to motor vehicles, such as commission agents and auctions, as well as retail sales by non-store commission agents, insurance agents, and real estate agents.

  • Third-party Approval: Business activity 4610.03 requires third party approval from Sharjah Municipality/ Supreme Council of Energy and Dubai Police, post-issuance of the license. 
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity is exempt from this requirement.

4620.00 Wholesale of agricultural raw materials and live animals

These wholesale activities revolve around agricultural raw materials and live animals. This includes the wholesale of grains, seeds, oleaginous fruits, flowers, plants, unmanufactured tobacco, live animals, hides, skins, leather, and agricultural materials used for animal feed. Essentially, it encompasses transactions involving various agricultural products and livestock at a wholesale level, catering to businesses and organisations in need of these materials for further processing or resale. 

However, wholesale textile fibres are excluded from this classification, ensuring a focused delineation of activities related specifically to agricultural raw materials and live animals.

  • Third-party Approval: Business activity 4620.00 requires third party approval from Sharjah Municipality / Ministry Of Climate Change And Environment, post-issuance of the license. 
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity is exempt from this requirement.

4620.04 Wholesale of live animals

This wholesale focus narrows down to live animals exclusively. This includes the bulk sale of various animals, ranging from livestock to pets, for commercial purposes. Wholesale activities in this category involve transactions concerning the procurement and distribution of live animals to businesses and organisations involved in agriculture, pet trade, or other related industries. This classification encompasses a diverse array of animal species and breeds, facilitating their movement within the market. 

  • Third-party Approval: Business activity 4620.04 requires third party approval from Sharjah Municipality / Ministry Of Climate Change And Environment, pre-issuance of the license. 
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity is exempt from this requirement.

4620.07 Wholesale of agricultural material, waste, residues and by-products used for animal feed

These wholesale activities focus on agricultural materials, waste, residues, and by-products specifically intended for animal feed. This includes the wholesale of items such as agricultural waste, residues from crop production, and by-products from various agricultural processes, all of which are utilised in the formulation of animal feed. These wholesale transactions cater to businesses and organisations involved in animal husbandry, providing them with essential materials to support animal nutrition and health. 

  • Third-party Approval: Business activity 4620.07 requires third party approval from Sharjah Municipality / Ministry Of Climate Change And Environment, post-issuance of the license. 
  • Filing of Economic Substance Return: This business activity is exempt from this requirement.
  • Anti-Money Laundering Compliance: This business activity 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.

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