Topic Summary
1. Anchored by Al Maktoum Airport
DWC is on track to become the world's largest cargo airport, with planned capacity of 12 million tonnes of freight annually, sitting at the district's doorstep.
2. Location Advantage
It sits within 20 minutes of Jebel Ali Port, letting a freight forwarder combine sea and air freight in one operational footprint on the same business day.
3. Free Zone Access
Businesses incorporate through Dubai South Business Hub Free Zone to access free zone benefits such as 100% foreign ownership and customs duty exemptions within the corridor.
4. Single-Authority Governance
Bonded warehouses, temperature-controlled storage and light-industrial plots sit under one regulatory roof, cutting the permit and compliance delays common in less integrated zones.
5. An Operational Airport Now
Emirates SkyCargo and international carriers already run scheduled cargo flights out of DWC, and setup at the free zone starts from approximately AED 12,500.
In 2026, Al Maktoum International Airport is on track to become the world's largest cargo airport, with a planned capacity of 12 million tonnes of freight per year (Dubai South, 2024). The Dubai South Logistics District sits right at its door. Jebel Ali Port, just 20 minutes away by road, handles over 14 million TEUs per year (DP World, 2023). License fees at Dubai South Business Hub start from AED 12,500. Same-day issuance is available online.
This guide covers what the Dubai South Logistics District is, why its location matters, which businesses operate there, how to set up, and what it costs.
What Is Dubai South Logistics District
Dubai South Logistics District is a purpose-built freight and logistics zone in Dubai, located next to Al Maktoum International Airport and 20 minutes from Jebel Ali Port. It gives logistics firms direct access to the UAE's two biggest cargo gateways.
Dubai South Logistics District Key Facts
Detail | Information |
|---|---|
Total site area | 145 km², room for large warehouses, cold stores, and open yards |
Airport cargo capacity (planned) | 12 million tonnes per year at Al Maktoum International Airport (Dubai South) |
Jebel Ali Port volume | 14 million+ TEUs per year, largest port in the Middle East (DP World) |
Road distance to Jebel Ali Port | 20 minutes by road from the Logistics District |
License start cost | AED 12,500 at Dubai South Business Hub |
Foreign ownership | 100% in the free zone, no local sponsor needed |
Corporate tax | 0% if Qualifying Free Zone Person conditions are met (FTA) |
The Zone in Plain Terms
The Logistics District is a dedicated freight precinct inside the wider Dubai South development. It is governed by the Dubai South Free Zone authority, giving every tenant free zone status from day one. It is built for storage, freight forwarding, distribution, and related business activities in Dubai.
A freight forwarder moving goods between Europe and Asia can base its regional hub here, clearing cargo at the adjacent airport and trucking to Jebel Ali Port the same day.
Key Facts at a Glance
Dubai South Logistics District offers free zone company setup, 100% foreign ownership, 0% import and export duties on goods in transit, and direct road links to Al Maktoum International Airport and Jebel Ali Port. License fees start from AED 12,500.
Important Considerations Before You Apply
The 0% corporate tax rate applies only if your company meets the Qualifying Free Zone Person conditions set by the Federal Tax Authority. It is not automatic.
Free zone companies can sell to UAE mainland buyers, but must appoint a mainland distributor or clear goods through UAE customs as a formal import.
Mainland logistics firms face 9% corporate tax above the AED 375,000 net profit threshold and need a local trade license from DET.
Why Location Makes Dubai South Logistics District Powerful
Dubai South Logistics District sits between Al Maktoum International Airport and Jebel Ali Port. Goods can move from plane to port in under 30 minutes, cutting transit times and costs for freight operators across Asia, Europe, and Africa trade lanes.
Al Maktoum International Airport
Al Maktoum International Airport is planned to reach 12 million tonnes of annual freight capacity once its expansion is complete (Dubai South, 2024). Dedicated freighter aprons and on-site customs clearance cut dwell time sharply. Pharma, e-commerce, and perishables companies benefit most from the cold-chain facilities on site.
12 million tonnes planned annual capacity
On-site customs clearance cuts dwell time
Cold-chain facilities for pharma and perishables
Jebel Ali Port
Jebel Ali Port handles over 14 million TEUs per year, making it the largest port in the Middle East (DP World, 2023). The road distance from the Logistics District to the port gate is just 20 minutes. DP World operates the port and offers bonded trucking between the two zones.
Goods arrive by sea at Jebel Ali
Stock moves to the Logistics District for sorting or kitting
Finished goods ship out by air from Al Maktoum the same week
Road Connections
Sheikh Mohammed Bin Zayed Road (E311) runs directly past the district, linking it to all seven emirates. Cross-border trucking to Saudi Arabia and Oman is practical from this location.
E311 direct road access to all seven emirates
Etihad Rail planned connection linking UAE ports and industrial zones
45-minute drive to central Dubai off-peak
7 Types of Business That Thrive Here
The 7 business types that thrive in Dubai South Logistics District are: freight forwarding, warehousing and distribution, e-commerce fulfilment, cold-chain logistics, customs brokerage, air cargo handling, and sea-air transshipment. Each benefits from the zone's dual airport and port access, free zone status, and 0% import duty on transit goods.
Freight forwarding: arranges air and sea shipments for importers and exporters.
Warehousing and distribution: stores goods and moves them to regional buyers.
E-commerce fulfilment: picks, packs, and ships orders for online retailers.
Cold-chain logistics: handles temperature-sensitive goods such as food and pharma.
Customs brokerage: manages import and export clearance on behalf of clients.
Air cargo handling: loads, unloads, and processes freight at Al Maktoum International Airport.
Sea-air transshipment: moves goods between Jebel Ali Port and the airport for onward shipping.
Which License Type Each Business Needs
Freight forwarding and customs brokerage: service license with the relevant activity code, see trading license Dubai options.
Warehousing and distribution: trading license with a storage activity code.
E-commerce fulfilment: trading license with an e-commerce activity added.
Cold-chain and air cargo handling: trading or service license, plus additional approvals from the relevant authority.
How to Set Up in Dubai South Logistics District
To set up in Dubai South Logistics District, choose your business activity, reserve a trade name, apply for a free zone license through Dubai South Business Hub, submit your documents, pay the license fee, and collect your license. The process takes as little as one day on the DSBH digital platform.
Step 1, choose your activity: Confirm it is on the DSBH approved list before you go further.
Step 2, check your trade name: Use the company name check tool to confirm it is free.
Step 3, apply online: Submit your form and papers through the DSBH digital platform.
Step 4, pay your license fee: Starts from AED 12,500; use the business setup cost calculator to get a firm figure.
Step 5, get your license: Same-day issuance is available on the digital platform.
What You Need to Apply
Most applicants need only a passport copy valid for at least 6 months and a recent passport photo on a white background. No UAE residency is required. Foreign nationals can apply from outside the UAE without a local sponsor.
Passport copy valid for at least 6 months
Recent passport photo on a white background
Completed application form from the DSBH portal
No local sponsor needed, 100% foreign ownership applies
Costs and Rules
A Dubai South Business Hub free zone license starts from AED 12,500. Costs rise with office space, visa quota, and activity type. Companies pay 0% corporate tax if they meet Qualifying Free Zone Person conditions. VAT at 5% applies to most local UAE sales. Import duties on transit goods are 0%.
Starting license fee | AED 12,500 at DSBH |
|---|---|
Activities included | Up to 5 at no extra cost |
Office options | Flexi-desk or dedicated office |
Visa quota | Varies by package; cost rises with each visa added |
Renewal | Annual; same cost variables as setup |
Tax and Compliance Rules
Corporate tax
The standard rate is 9% above AED 375,000 net profit. Free zone companies can pay 0% if they meet the Qualifying Free Zone Person conditions the Federal Tax Authority sets. Every DSBH company must register for corporate tax with the FTA once set up.
VAT
VAT is 5% on most UAE sales. Goods in transit and exports are zero-rated. A warehousing company storing goods for re-export to Saudi Arabia charges 0% VAT on those sales but still registers with the FTA and files returns.
Customs
Import duties on transit goods are 0%. Check Dubai Trade for the current tariff schedule before you import.
What Sets Dubai South Apart
No other UAE free zone sits directly between a major international airport and a top-10 global port. That combination is genuinely hard to replicate.
145 km² total site, room for large warehouses and open yards that smaller zones cannot offer
On-site customs at Al Maktoum cuts dwell time versus zones further from the airport
License from AED 12,500, lower than many comparable logistics free zones in the UAE
Bonded trucking between the Logistics District and Jebel Ali Port available through DP World
Ready to set up a company in the UAE's most connected logistics zone? Use the DSBH cost calculator to work out your exact setup cost, then check your trade name is free before you apply. Both tools are on the Dubai South Business Hub website.
References
Dubai South (dubaisouth.ae)
DP World (dpworld.com)
u.ae (u.ae)
FTA (tax.gov.ae)
Dubai Trade (dubaitrade.ae)
Frequently Asked Questions
