Thinking about starting a food business in Dubai? From restaurants to supermarkets and wholesale suppliers, the city offers endless opportunities for entrepreneurs. But before you dive in, there’s one crucial step you cannot skip — getting your Foodstuff Trading License in Dubai.
This license isn’t just a formality; it’s your legal ticket to buy, sell, import, and export food products in the UAE market. Without it, your business won’t even make it past the starting line. In this guide, we’ll break down everything you need to know — from the requirements and steps to the costs and benefits. Think of it as your roadmap to opening doors in the world of Dubai’s food industry.
A Foodstuff Trading License in Dubai is a legal permit that allows businesses to import, export, distribute, and sell food products across the UAE. Whether you’re planning to run a grocery store, a wholesale food supply company, or even an online food trading platform, this license is your official permission slip from the government.
Think of it as your key to the food business kingdom in Dubai. Without it, you can’t even open the doors.
Why is the License Important for Food Businesses?
Food safety is serious business in Dubai. The government wants to make sure all food items entering or sold in the country meet strict quality standards. This protects consumers and also builds Dubai’s reputation as a global hub for safe and high-quality food trade.
If you skip getting the license, you risk heavy penalties, business closure, or even legal trouble. In short: no license, no business.
Types of Food Businesses Covered Under the License
The license covers a wide variety of businesses, such as:
- Supermarkets and Grocery Stores – Selling packaged and fresh food.
- Restaurants and Cafes – Serving ready-to-eat meals.
- Wholesale Food Suppliers – Distributing products to hotels, restaurants, and retailers.
- Online Food Traders – E-commerce businesses dealing with food products.
- Import/Export Companies – Bringing food products from abroad or exporting UAE products internationally.
Who Issues the Foodstuff Trading License in Dubai?
The license is issued by the Department of Economy & Tourism (DET), previously known as DED (Department of Economic Development). However, approval also involves the Dubai Municipality’s Food Control Department to ensure compliance with hygiene, storage, and handling rules.
Ownership Structure – LLC and Local Sponsorship
Most foreign investors set up their food business as a Limited Liability Company (LLC). According to UAE law, an LLC in the mainland requires:
- 51% ownership by a UAE national (local sponsor)
- 49% ownership by the foreign investor
This may sound restrictive, but in practice, local sponsors often act as “silent partners,” while foreign investors maintain full operational control.
Step-by-Step Process to Obtain the License
Let’s walk through the steps like following a recipe. Just like baking a cake, you need the right ingredients (documents) and steps (approvals) in order:
Trade Name Certificate
Your business needs a unique identity. Start by reserving a trade name with DET. It should reflect your business nature and follow the UAE’s naming guidelines.
Initial Approval Process
Apply for initial approval through the Invest in Dubai platform. This approval means the government has no objections to your business idea.
Dubai Municipality Food Control Approval
This is where food safety rules step in. You need approval from the Dubai Municipality Food Control Department to ensure your business meets hygiene and food safety requirements.
MOA Attestation from DET
Prepare your Memorandum of Association (MOA) — basically the rulebook for your business. Then, get it attested by the DET.
Commercial Tenancy Contract Registration
You’ll need a registered commercial space for your business. Sign a tenancy contract under your trade name and register it with the Dubai Land Department (DLD).
Submitting Documents to DET
Collect all the above documents — trade name certificate, initial approval, tenancy contract, MOA, and Food Control approval — and submit them to the DET.
Payment Voucher and Final License Issuance
The DET will issue a payment voucher. Once you make the payment, your Foodstuff Trading License in Dubai will be issued. Congratulations, your business is now legal!
Cost of Foodstuff Trading License in Dubai
The cost varies depending on your business type, office space, and other factors. On average:
- License fees: AED 10,000 – AED 15,000
- Office/warehouse rent: Depends on location and size
- Other approvals and documentation: Additional charges may apply
It’s smart to budget around AED 20,000 – AED 30,000 for the entire setup.
Benefits of Having a Foodstuff Trading License
- Legal compliance – Operate without fear of penalties.
- Market access – Trade within Dubai and internationally.
- Business credibility – Builds trust with suppliers, customers, and investors.
- Growth opportunities – Expand into imports, exports, or franchising.
Challenges and How to Overcome Them
Starting a food business isn’t always smooth sailing. You may face:
- Complex paperwork – Solution: Hire a business setup consultant.
- Strict hygiene rules – Solution: Stay updated with Dubai Municipality guidelines.
- Finding the right local sponsor – Solution: Work with a trusted business setup service.
Tips for a Smooth Licensing Process
- Double-check all documents before submission.
- Choose your business location wisely.
- Partner with consultants who know the process inside out.
- Stay compliant with food safety laws at all times.
Conclusion
Getting a Foodstuff Trading License in Dubai may feel like a long process, but it’s the essential first step toward running a successful food business in one of the world’s most vibrant markets. With the right guidance, proper planning, and compliance, you’ll soon be part of Dubai’s thriving food trade network.
FAQs
1. How long does it take to get a Foodstuff Trading License in Dubai?
It usually takes 2 to 4 weeks, depending on document approvals and the business setup process.
2. Can a foreigner own 100% of a food business in Dubai?
In the mainland, foreigners can own up to 49%, with 51% held by a local sponsor. However, in free zones, 100% ownership is possible.
3. Do I need a physical office to apply for the license?
Yes, a commercial space and tenancy contract are mandatory for mainland businesses.
4. Can I trade food products online with this license?
Yes, the license covers online food trading as long as all products meet safety regulations.
5. What happens if I operate without a license?
Running a food business without a license can lead to fines, business closure, and legal action.
