How to Get a Metals and Metal Ores Trading License in Dubai
Dubai sits at the crossroads of global commodity flows, and few sectors illustrate that position better than metals and metal ores trading. With the UAE's non-oil foreign trade surpassing AED 2.8 trillion in recent years and the country consistently ranked among the world's top re-export hubs, establishing a metals trading operation here offers genuine commercial advantage. Whether you are sourcing raw ores for onward shipment or trading processed metals across Asia, Africa, and Europe, a dedicated trading license under Activity Code 4662 gives your business the legal framework to operate with confidence.
What the Metals and Metal Ores Trading License Covers
Activity Code 4662 falls under the wholesale and trading category and authorises the holder to buy and sell a broad range of metallic commodities. Covered activities typically include:
Wholesale trade of ferrous and non-ferrous metal ores
Trading of iron, steel, copper, aluminium, and related alloys
Import, export, and re-export of raw and semi-processed metals
Brokerage and agency activities connected to metals commodities
Storage and distribution of metal products within licensed premises
The license does not cover manufacturing or processing activities. If your business model involves smelting, refining, or fabrication, a separate industrial license would be required alongside or instead of a trading license.
Why Dubai South Business Hub Free Zone
Dubai South is a purpose-built economic zone centred around Al Maktoum International Airport, which is planned to become the world's largest airport by cargo capacity. For metals and metal ores traders, this location provides direct airfreight connectivity, proximity to Jebel Ali Port, and seamless access to the UAE's road network linking GCC markets.
The Business Hub within Dubai South offers a streamlined licensing environment with 100 per cent foreign ownership, zero personal income tax, and full repatriation of profits. Companies registered here can trade internationally without the need for a local Emirati sponsor, making it particularly attractive for overseas investors entering the UAE market for the first time.
Key Stats at a Glance
Activity Code: 4662 - Wholesale of Metals and Metal Ores
License Type: Trading License
Free Zone: Dubai South Business Hub
Foreign Ownership: 100 per cent permitted
Corporate Tax Rate: 0 per cent on qualifying free zone income
UAE Non-Oil Trade: Over AED 2.8 trillion annually
Typical License Approval Timeline: 3 to 7 working days
Minimum Share Capital: Subject to free zone requirements at time of application
Who This License Is Suited To
The 4662 trading license is well matched to a wide range of operators, including international commodity traders looking for a tax-efficient regional base, mining companies seeking a distribution hub for their output, metal recycling firms engaged in cross-border trade, and procurement businesses sourcing industrial materials for construction or manufacturing clients across the Middle East and Africa.
Setup Costs and Steps
Costs vary depending on the office package and visa allocation chosen, but the process follows a clear sequence:
Step 1 - Choose your business structure: Free zone companies at Dubai South can be set up as a Free Zone Company (FZCO) or a branch of an existing foreign entity.
Step 2 - Reserve your trade name: The name must comply with UAE naming conventions and must not replicate existing registered entities.
Step 3 - Submit your application: Provide passport copies, a business plan summary, and completed application forms to the free zone authority.
Step 4 - Select an office or facility: Options range from flexi-desk packages for purely trading operations to warehousing units for businesses requiring physical storage of metal stock.
Step 5 - Pay license and registration fees: Fees are paid upon approval and cover the first year of operation. Annual renewal fees apply thereafter.
Step 6 - Obtain your license and open a corporate bank account: Once issued, the license enables you to apply for UAE residence visas and open a business bank account with a UAE-regulated institution.
Licensing and Compliance Requirements
Metals and metal ores traders operating in Dubai must adhere to UAE customs regulations administered by the Federal Customs Authority, as well as any commodity-specific controls that apply to certain strategic metals. Anti-money laundering obligations under the UAE's AML framework apply to all trading entities, and businesses should maintain accurate records of counterparties and transactions. Value Added Tax at five per cent applies to domestic transactions, while exports and re-exports are generally zero-rated, preserving the commercial efficiency of using Dubai as a transit hub.
Why Dubai Is Well-Positioned for Metals Trade
The UAE's geographic position places it within an eight-hour flight of approximately three billion consumers across South Asia, East Africa, and Eastern Europe. Jebel Ali Port, operated adjacent to the Dubai South zone, is the largest port in the Middle East and consistently ranks among the top ten container ports globally. The country has signed numerous bilateral trade agreements and benefits from a robust network of double taxation treaties, reducing the friction of cross-border transactions for registered businesses.
Furthermore, the UAE's political stability, transparent legal system based on civil law principles, and commitment to economic diversification under the UAE Vision 2031 framework make it a dependable long-term base for commodity trading operations.
Related Activities
Metal Ores & Minerals Trading Trading License
Metal Ores Trading Trading License
Non-Ferrous Metals Wholesale Trading Business
