UAE Free Zones

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Hamriya Free Zone

The Hamriyah Free Zone based in the Emirates of Sharjah, is located on the West coast of the Arabian Gulf and provides strategic access by sea, land and air to a fast growing over 1 billion consumer market. The Emirate of Sharjah offers extensive transportation links to the Gulf states, Indian subcontinent and the emerging markets in Asian and African nations. These services are made possible by the “SHARJAH LINK”.

The “SHARJAH LINK” gives the Investor access to a trade bridge which creates a significant cost and time savings advantage. The LINK is created by Khor Fakkan container port on the East Coast / Indian Ocean, Hamriyah and Khalid ports on the West Coast / Arabian Gulf, and the Sharjah International Airport. All ports are connected by a super highway and will exempt goods from tax which are shipped to the Hamriyah Free Zone. This link can save up to 48 hours in sailing time and reduce insurance costs.

Sharjah International Airport is currently the largest cargo handling base in the UAE today with Lufthansa selecting it as its Middle East base.

Cargo routed by sea-air from the Far East to Frankfurt via Sharjah can cut up to 40% off the cost of pure airfreight, while reducing a third of the time taken by sea.

• Unique Advantages
• 100% Foreign company ownership is allowed
• * 100% Import and Export tax exemption
• 100% Exemption from all commercial levies
• 100% Repatriation of capital and profits allowed
• 25 year leases available, renewable for a further 25 years
• No corporate profits tax
• No personal income tax
• The only Emirate with sea ports on East and West coasts
• Access to the largest cargo hub in the UAE at Sharjah International Airport
• Customs privileges for goods destined for the Hamriyah Free Zone
• Quick and simple procedure for approval of License Applications
• Recruitment and sponsorship of personal, and procurement of visas
• No requirements or quotas for personal recruitment
• Access to Internet and e-mail services, secretarial services, postal address, vehicle registration services, driving licenses etc.
  

HFZ Choice of Licences

Industrial Licence

This license will allow the holder to import raw materials for the purpose of manufacturing processing and / or assembly of specified products. The finished products nay be exported outside the UAE. If the finished products are sold in the UAE market then the License holder will need to do this through a local distributor or a local agent.

Industrial Licenses will be categorized as :

• Manufacturing
• Processing
• Assembly

Commercial Licence

This license will allow the holder to import, export, sell, distribute and store items specified on the license. If the finished products are sold in the UAE market then the License holder will need to do this through a local distributor or a local agent.

Service License

This license allows the holder to carry out the services which are specified on the license within the Hamriyah Free Zone only.

National Industrial License

Companies holding a National License are allowed customs duty exemption on their products imported into the AGCC states. This license provides the license holder the same status as local or AGCC companies inside the UAE. A National License is issued on the following conditions:

Sales or provision of services outside of the free zone and within the UAE must be carried out through a distributor or agent. In this case usually a 4 % duty is imposed by the Free Zone authorities, which is normally split between the two parties concerned

• The company is a manufacturing concern registered in any of the AGCC (Arabian Gulf Cooperation Council- Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates) countries.
• At least 51% of the ownership or shareholding is held by an AGCC citizen
• At least 40% of the value of the product is added in the Free Zone.

The holder of National Industrial License can import raw materials for the purpose of manufacturing processing and / or assembly of specified products. The finished products may be exported outside the UAE. The activity must comply with the National Industrial Production Certificate issued by the Ministry of Finance & Industry to the License holder.

Different forms of registration :

1. Free Zone Establishment (FZE)

FZE is a limited liability Company incorporated in the free zone, owned by one person or Company. It has distinct legal entity and independent financial liability.

The paid-up share capital AED 550,000 (USD150,000).

2. Branch of a foreign Company registered in the UAE.

3. Branch of a foreign Company incorporated outside the UAE.

Disclaimer:

Every effort has been made to ensure the material contained in this document is correct at time of publishing. However, this information should be interpreted as information only and does not constitute any legal or tax advice from Zenesis Corporation or any of its subsidiaries.