Set up a manufacturing company

How to set up an Industrial license or manufacturing company in Ras Al Khaimah (RAKEZ), UAE in 2024-2025

RAKEZ stands out by offering both free zone and non-free zone entity formation, providing investors with straightforward access to expanding markets in the Middle East, North Africa, Europe, and South and Central Asia. To establish an industrial license or manufacturing company, the first step is to clearly define the business activity—specifically, what you intend to manufacture or process.

 

 Once that is determined, you’ll need to decide on the company structure, including the number of individual shareholders and whether to involve corporate shareholders, whether local or international. Depending on the nature of your business, various regulatory authorities, in addition to the licensing authority, may be involved in the licensing process. This ensures compliance with all relevant regulations and facilitates a smoother setup.

 

These authorities can include the Environment Protection & Development Authority, the Department of Civil Defense, the CCTV Certificate from the General Resources Authority, the RAK Municipality-Public Health Department, the Department of Civil Aviation, the Ministry of Defense, the Ministry of Interior, the Ministry of Climate Change and Environment, the Ministry of Health & Prevention, the General Resources Authority, the Designated Non-Financial Business or Profession (DNFBP), the General of RAK Police, the Emirates International Accreditation Centre (EIAC), and the Tourism Development Authority, among others.

 

One of the key components of the application process is submitting a comprehensive business plan. This plan should detail the required warehouse or land size, as well as your needs for electricity and water supply.

 

Depending on the nature of your business, you’ll also need to assess the number of employees required. For employee accommodations, you can either rent existing camps or apartments or, if you lease land, consider constructing your facilities. This approach can reduce transportation costs and lead to overall savings in the long run.


A well-thought-out business plan will not only help secure your license but also lay a strong foundation for your operations. The estimated cost for obtaining a license starts at approximately 50,000 AED for the smallest warehouse.


However, this figure can vary based on several factors, including the number of visas required, the size and rental cost of the warehouse or land, and the overall scope of work. It’s essential to consider these variables when budgeting for your business setup in Ras Al-Khaimah to ensure a clear understanding of your financial commitments.


There are more than 600 manufacturing and industrial activities available in Ras Al Khaimah (RAKEZ). 

Some are as follows:

  • Pharmaceuticals Packaging
  • Petrochemical Manufacturing
  • Treated Tobacco Manufacturing
  • Wine Manufacturing
  • Aircraft Manufacturing
  • Beauty and Personal Care Products Manufacturing

Designated Areas in Ras Al Khaimah Economic Zone (RAKEZ)

 
  • Al Hamra Industrial Zone: Al Hamra is a one-and-a-half-hour drive from Dubai and a 30-minute drive from Ras Al Khaimah Airport, close to the city center. Spread over 9.1 million square meters, it is an ideal location for light to heavy industries. The zone offers flexibility for setting up either free zone or non-free zone entities, providing customized solutions to meet specific business needs.
  • Al Ghail Industrial Zone: Al Ghail is approximately a one-and-a-half-hour drive from Dubai. For investors looking to establish large-scale industrial manufacturing enterprises, this zone is the most preferable choice, offering options for setting up free zone and non-free zone entities. The upcoming Etihad Rail will also have its last station in the Al Ghail zone.
  • Al Hulaila Industrial Zone: Al Hulaila is a one-and-a-half-hour drive from Dubai and is connected to multi-lane superhighways for efficient transportation. Close to Saqr Port, the largest bulk-handling port in the Middle East, this location enhances import and export operations. Spanning 1.3 million square meters, it is perfect for heavy industries looking to set up plants and labor accommodations.

Also Read: Securing an E-Commerce License in Dubai: A Step-by-Step Guide


An Industrial License in RAKEZ Appropriate For 

  1. Storage
  2. Logistics
  3. Assembly
  4. Fabrication
  5. Light Manufacturing
  6. Heavy Manufacturing

Some Key Benefits of Setting Up Manufacturing Business in RAKEZ

  1. 100% Foreign Ownership
  2. Tax Incentives
  3. Access to World-Class Infrastructure
  4. Proximity to Major Markets

Features an Industrial License in RAKEZ

  1. All the Zones like Al Hamara, Al Ghail & Al Hulaila are getting access to the RAKEZ compass office.
  2. Customizable warehouses in a range of sizes
  3. Power supply of up to 500 kV
  4. Options for both free zone and non-free zone locations
  5. Proximity to major logistics hubs
  6. On-site labor and staff accommodations
  7. Industrial facilities are available for all companies licensed in the UAE.
  8. Guaranteed bank account opening

Leading Established Companies in RAKEZ

  1. Ashok Leyland
  2. Dabur International
  3. Saint-Gobain
  4. Unilever
  5. Mondi Group
  6. ArcelorMittal
  7. Kraft Heinz
  8. Wärtsilä

Media Reporting

https://www.arabianbusiness.com/tags/ras-al-khaimah-economic-zone


Let’s answer some popular Questions

1. Can I have my 100% ownership

Answer: Yes, all Freezone setup allows a foreign investor to have 100% ownership.


2. What is the minimum share capital requirement?

Answer: There is a minimum 10,000 AED share capital requirement however, you don’t need to show it physically, it is only on paper.


3. Can I build my manufacturing unit?

Answer: Yes, you have a choice to rent or lease out the already established warehouse or you can build your own based on the requirements.


4.  Ras Al Khaimah (RAKEZ) is designated Feezone?

Answer: Ras Al Khaimah (RAKEZ) has both options available for the designated or non-designated.


5. Question: Does Government support for industrial license

Answer: The government provides substantial support through ready-made infrastructure and offers multi-year licenses, along with long-term leasing and rental options. These initiatives are designed to help businesses save significantly on costs, making it easier for entrepreneurs to establish and grow their operations in the region


6. Question: Do we get access to the RAKEZ compass office?

Answer: Yes! If you hold a license from any of the Zones in RAKEZ, you’ll gain access to the RAKEZ Compass Office, equipped with state-of-the-art international infrastructure and available 24/7. As a member of the RAKEZ family, you can also participate in weekly networking events, providing you with valuable opportunities to connect with professionals from diverse industries and backgrounds.


7. Question: What size options are offered for warehouse space available for lease or rent in the Ras Al Khaimah Economic Zone (RAKEZ)? Is customization possible?

Answer: In the Ras Al Khaimah Economic Zone (RAKEZ), various options are available, starting from a minimum size of 150 sq mtr. You can choose between leasing or renting, as both options are offered. Additionally, customization is possible to meet your business needs, with the help of necessary approvals.


8. Question: Does Ras Al Khaimah Economic Zone (RAKEZ) give the option to build its accommodations?

Answer:  Ras Al Khaimah Economic Zone (RAKEZ) gives the option to build their accommodations on leased land, providing flexibility for housing arrangements.


9. Is there office space available within the warehouses at RAKEZ, UAE

Answer: Yes, in each warehouse facility office, pantry & washrooms are available.

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