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Entering Dubai’s gold trading market can seem daunting, especially for UK entrepreneurs. In the UK, navigating complex licensing rules, high taxes, limited access to global trading networks, and strict regulations often slows down business entry and increases costs.
In contrast, Dubai offers a more streamlined process, strategic access to global markets, and unique tax advantages, while handling around 20-25% of the world’s physical gold trade. These benefits make it easier for UK investors to set up and grow a gold trading business efficiently.
In this blog, we’ve covered everything UK entrepreneurs and business owners need to know about securing a gold trading license in Dubai, from costs and regulatory requirements to the complete setup process.
A gold trading license allows companies to trade legally, import, export, or retail precious metals and gold in the UAE. Without it, running a business dealing in gold can attract huge fines, legal proceedings, and tarnishing of the reputation.
The Department of Economic Development (DED) issues mainland licenses, while Free Zone authorities such as the Dubai Multi Commodities Centre (DMCC) handle Free Zone registrations. DMCC has expanded to 25,000 registered entities and continues as the main commodities trading hub.
Dubai has established itself in the gold market, acting as a vital link between Africa’s gold-rich nations and major Asian markets. Its strategic location, supported by effective policies and excellent infrastructure, allows for smooth and secure trading.
The Dubai Multi Commodities Centre (DMCC) is at the heart of this success. It offers full foreign ownership rights, advanced facilities for gold refining and storage, and transparent regulations that attract international companies, including many from London. For UK investors, this means easier access, complete control over their operations, and entry into a bustling international trading market.
On the financial side, Dubai’s zero import duties on gold and jewellery, VAT exemptions for investment-grade bullion, and simple licensing procedures make it one of the most cost-effective places to trade. Plus, the Dubai Gold and Commodities Exchange (DGCX) provides tools for futures trading and hedging, confirming Dubai’s status as a true global gold hub. The emirate’s leadership of the gold industry is based on a number of tangible strengths.
When setting up a gold trading business in Dubai, choosing the right location can make all the difference. Choosing the right location is essential, as each one provides distinct advantages that can help maximize profits and streamline operations efficiency. Partnering with the expert business setup consultancy Stratrich can help you navigate these options and launch your gold trading venture quickly.
1. Dubai Gold & Commodities Exchange DMCC Free Zone
The premier destination for international bullion traders. Benefits include:
Setup time is 5-10 working days with complete documentation.
2. Gold & Diamond Park
Gold & Diamond Park is a modern, air-conditioned jewellery and gold mall on Sheikh Zayed Road, near Al Quoz, featuring over 60 jewellery outlets and workshops. It combines retail and manufacturing, offers easy metro access, and is governed by the Jebel Ali Free Zone, making it ideal for those seeking a professional setting with strong infrastructure and customer amenities.
3. Dubai Gold Souk (Mainland)
The traditional gold market in Deira’s commercial district. Around 300 retailers operate in this historic marketplace. Ideal for businesses targeting tourists and local customers looking for traditional gold jewellery. High foot traffic but a more competitive environment.
4. Jumeirah Lake Towers (JLT)
A business district hosting several gold dealers and refiners, including major companies like Kaloti. Offers a hub for bullion investment companies and gold refiners with high-quality infrastructure. Many dealers here offer bullion dealing on a national and international scale.
To get a gold trading license in Dubai, you need to fulfill legal requirements, apply through Dubai’s Department of Economic Development, and meet specific investment and documentation criteria. Below are the steps to follow:
Step 1: Select your jurisdiction
UK entrepreneurs must decide between a mainland and Free Zone setup:
| Mainland | Free Zone | |
|---|---|---|
| Advantages | Can operate shops anywhere in Dubai | 100% foreign ownership and potential tax benefits |
| Direct access to local customers | Simplified registration process | |
| Flexibility in business location | Access to specialized facilities (DMCC vaults, refineries) | |
| Limitations | May require local sponsor (51% ownership) for certain activities | Operations are primarily restricted to Free Zone areas |
| Higher regulatory complexity | Lower visibility to the general public | |
| No special tax exemptions | Cannot directly access the mainland market without additional permissions |
Step 2: Select business structure
Choose from legal structures allowed in Dubai:
Step 3: Reserve trade name
Submit your preferred business name to DED or the relevant Free Zone authority. Name must comply with UAE regulations:
Step 4: Secure required approvals
Obtain approvals from the appropriate authorities within your business scope.
Each authority performs due diligence checks, and you might be required to attend interviews or submit more documents.
Step 5: Submit complete documentation
Provide the required company and shareholder documents, office proof, and approvals to complete the licensing process. Once verified, your gold trading license will be issued. Personal documents include:
Business documents are:
Step 6: Finalize license issuance
Once all documentation is verified and approvals secured, the licensing authority issues your official gold trading license. This typically takes 7-10 working days from complete documentation submission.
Step 7: Open a corporate bank account
Dubai banks require comprehensive documentation for gold trading accounts due to anti-money laundering regulations:
Popular banks for gold trading businesses include Emirates NBD, Mashreq Bank, and Abu Dhabi Commercial Bank. Account opening can take 2-4 weeks.
Step 8: Apply for business visa
UK entrepreneurs need UAE residence visas to operate their businesses:
Investor Visa: Available to business owners and partners. Provides 2-3 year residency with option to sponsor family members.
Golden Visa: Long-term residency (5-10 years) for investors meeting specific criteria.
Visa processing includes medical examination, Emirates ID registration, and visa stamping.
Dubai now offers a streamlined online process for UK investors:
Obtaining a gold trading license in Dubai involves various costs that can vary based on the jurisdiction (Mainland or Free Zone), business scale, and specific requirements. Below is a detailed breakdown of the expenses associated with acquiring a gold trading license in Dubai:
Mainland license costs
The basic licensing structure for mainland operations includes:
DMCC Free Zone costs
The estimated cost of a gold trading license in DMCC is approximately £ 6973, including license and registration fees. Additional costs, such as office rental and visa fees, are separate and depend on the chosen office space and the number of visas required.
The DMCC Free Zone offers benefits such as full foreign ownership and a favorable business environment for trading commodities like gold.
*Note: These costs are approximate and may vary based on the specific circumstances of the business setup.
Renewing your gold trading license in Dubai is necessary to keep your business lawful. The process is simple and can usually be done online, minimizing the need for in-person visits.
1. Check your license expiry
Gold trading licenses in Dubai are valid for one year. Ensure you start the renewal process at least 30-60 days before expiry to avoid penalties or business disruption.
2. Collect all necessary documents
You will generally need:
3. Submit the renewal application
4. Pay renewal fees
Renewal costs vary depending on jurisdiction and business size, typically covering licensing, administrative charges, and any regulatory fees.
5. Receive renewed license
Once approved, your new gold trading license is issued digitally or in person. You can then continue trading without interruption.
Dubai offers substantial tax advantages compared to UK operations:
Corporate tax structure
The UAE imposed a 9% federal corporate tax on business earnings above AED 375,000 (about £ 81,000) from 2023. Earnings below this are exempted from tax. From 2025, large multinationals also pay a further 15% Domestic Minimum Top-Up Tax.
But gold businesses in certain Free Zones could be eligible for special tax relief under certain terms.
VAT rules
Comparison with UK taxation
| Tax Type | Dubai (UAE) | UK |
|---|---|---|
| Corporate tax | 9% (Above AED 375k) | 19% |
| Personal income tax | 0% | 20-45% |
| Vat on investment gold | 0% | 0% |
| Import duty | 0% | 0% |
| Capital gains tax | 0% | 20% |
*Note: Individual investors pay zero capital gains tax on gold profits in Dubai, whether gains amount to £ 204 or £ 0.2 million.
Department of Economic Development (DED)
The DED oversees all mainland business activities in Dubai. They issue trade licenses, enforce consumer protection regulations, and maintain business registration databases. All mainland gold trading companies must register with and obtain approvals from the DED.
Dubai Multi Commodities Centre (DMCC)
Established in 2002, DMCC is the world’s largest Free Zone for commodities trading. Located in Jumeirah Lake Towers, it provides specialized infrastructure including secure vaults, refining facilities, and the Dubai Gold Tower. DMCC handles all registrations for Free Zone gold trading entities.
Security Industry Regulatory Agency (SIRA)
SIRA approval is mandatory for high-value businesses handling gold and precious metals. They enforce security protocols requiring businesses to install advanced surveillance systems and employ trained security personnel. Non-compliance can result in license suspension.
Dubai Gold & Jewellery Group (DGJG)
This industry body represents gold and jewellery traders throughout Dubai. DGJG membership is required for jewellery retailers, helping businesses maintain industry standards while providing networking opportunities and market intelligence.
Securities and Commodities Authority (SCA)
The SCA serves as the federal regulator overseeing all commodity trading across the UAE. They establish licensing requirements, trading practices, and market conduct rules to maintain fair and transparent markets.
| Compliance Area | Requirements | Notes / Consequences |
|---|---|---|
| Anti-Money Laundering (AML) | Customer identification and verification Transaction monitoring and reporting Suspicious activity reporting to authorities Regular staff training on AML regulations Record keeping for minimum 5 years | Non-compliance can result in fines, penalties, or license suspension |
| Know Your Customer (KYC) | Identity verification for all customers Source of funds documentation for large transactions Enhanced due diligence for high-risk customers Ongoing monitoring of customer relationships | Ensures transparency and prevents illicit transactions |
| SIRA Security Standards | CCTV surveillance systems covering all areas Alarm systems connected to security monitoring Secure storage facilities meeting SIRA specifications Trained security personnel Regular security audits and updates | Failure to meet standards can lead to license suspension or revocation. |
As explained in the blog, Dubai handles approximately 1,200 metric tons of gold each year, highlighting the size and potential of this market for the UK entrepreneurs. The essential part is setting up correctly. Whether selecting a mainland or DMCC Free Zone license, adhering to the application process, obtaining approvals, and maintaining compliance will ensure your business operates smoothly.
Most of the process can even be managed from the UK, so you can start without unnecessary trips.
If you’re ready to take the next step, contact Stratrich. Our UAE expert will guide you through the entire process, from license applications to compliance, making your gold trading venture in Dubai Our UAE expert will guide you through the entire process, from license applications to compliance, making your gold trading venture in Dubai stress-free and straightforward.
