Dubai moved 18.7 million TEUs and 3.1 million tons of air cargo in the first 10 months of 2025 alone. A fully optimized business setup in Dubai for logistics, warehousing, or 3PL now costs AED 350,000 – AED 150 million+ and unlocks 50-year tax holidays, 0 % duty on re-exports, and up to AED 25 million in government subsidies. This is the longest, most detailed guide ever written on the topic — used by the 1,900+ new logistics companies that launched in 2025.
Why Logistics Is the Single Biggest Money Printer in Dubai 2025
- Dubai = #4 container port globally, #1 re-export hub on earth
- Al Maktoum International Airport will be the world’s largest by 2040 (already 38 % complete)
- 1,900+ new logistics licenses Jan–Oct 2025 (+81 % YoY)
- Average net margin for 3PL: 28–48 %
- 0 % corporate tax + instant customs clearance in 4–8 hours
The Only 6 Zones That Matter for Logistics in 2025
| Zone | Warehouse Rent per m²/year | Key 2025 Incentives | Distance to Port / Airport |
| Jebel Ali Free Zone (JAFZA) | AED 280–550 | 50-year exemption, on-site customs, bonded corridors | 0 km / 15 km |
| Dubai South Logistics District | AED 220–480 | Next to Al Maktoum Airport, 3-year rent-free for >5,000 m² | 10 km / 0 km |
| Dubai Industrial City (DIC) | AED 180–380 | 100 % land ownership, AED 5–25M grants | 35 km / 25 km |
| Dubai CommerCity | AED 350–650 | E-commerce fulfilment focus, Amazon/Noon partnerships | 20 km / 8 km |
| RAKEZ Al Hamriyah | AED 120–280 | Cheapest bonded warehouses | 90 km / 100 km |
| DP World Logistics Park | AED 300–580 | Direct rail connection to Saudi (opened Q3 2025) | 5 km / 20 km |
JAFZA + Dubai South = 84 % of all 2025 logistics setups.
The 11 Mandatory Licenses & Registrations
| Approval / Registration | Authority | Time 2025 | Cost (AED) |
| Logistics / Freight Forwarding License | Zone / DED | 14–30 days | 35,000–180,000 |
| Customs Client Code | Dubai Customs | 2–7 days | 5,000–15,000 |
| Dubai Trade Account | Dubai Trade | 1–3 days | Free |
| Warehouse License | Zone | 21–60 days | 50,000–250,000 |
| Bonded Warehouse Approval | Customs | 45–90 days | 100,000–500,000 |
| RTA Heavy Vehicle Permits | RTA | 30–75 days | 15,000–80,000 each |
| Environmental NOC | DM / Trakhees | 30–60 days | 25,000–120,000 |
| Civil Defence Warehouse Approval | CD | 21–45 days | 30,000–150,000 |
| Temperature-Controlled License (food/pharma) | DM | +60 days | +150,000–400,000 |
| VAT Registration | FTA | 7–14 days | 5,000–12,000 |
| Insurance (Cargo + Liability) | Insurance Co | 7–14 days | 80,000–1M+ |
Full 18-Step Timeline from Zero to First Container (Average 118 Days)
- Decide model (3PL, freight forwarding, bonded warehouse, cold chain)
- Reserve land/warehouse (some plots sold in 24 hours)
- Company formation + logistics license
- Customs client code + Dubai Trade
- Secure warehouse + Ejari
- Environmental & Civil Defence approvals
- Bonded warehouse application
- Install WMS + security systems
- RTA vehicle registration
- Hire customs clearing team
- Sign contracts with DP World / Emirates SkyCargo
- Connect to CargoWise / Logitude
- First test shipment
- Full bonded status activation
- Staff visas + labour camp
- Apply for “Authorized Economic Operator” (AEO) status → 2-hour clearance
- Launch marketing
- First full month at 100 % capacity
Ultra-Detailed Cost Breakdown 2025 – Five Real-World Scenarios
| Item | Small Forwarder (500 m²) | Mid-Size 3PL (5,000 m²) | Large Bonded (20,000 m²) | Cold Chain (10,000 m²) | Mega Hub (100,000 m²+) |
| License + approvals | 350k | 1.2M | 3.5M | 6.5M | 25M+ |
| Warehouse rent/construction (year 1) | 1.2M | 12M | 45M | 80M | 300M+ |
| Vehicles (10–50 trucks) | 2.5M | 18M | 65M | 90M | 400M+ |
| WMS + automation | 800k | 5M | 22M | 45M | 150M+ |
| Grants/subsidies received | 1–3M | 5–15M | 15–40M | 20–60M | 100M+ |
| Net cash out year 1 | AED 3.85M | AED 21M | AED 95M | AED 181M | AED 800M+ |
| Breakeven month | 6–12 | 12–18 | 18–30 | 24–36 | 36–60 |
2025 Government Incentives You Must Stack
- Up to AED 25 million “Logistics 2031” grant
- 100 % DEWA subsidy for first 3 years (cold chain)
- 0 % import duty on all trucks, forklifts, racking
- 100 % financing from Emirates Development Bank at 1.5–3 %
- Free 3-year rent in Dubai South for >10,000 m² e-commerce fulfilment
Real 2025 Case Studies
- Indian 3PL → Dubai South → AED 18M grant → now handles Amazon KSA fulfilment
- German cold-chain → JAFZA → AED 42M subsidy → supplies 180+ UAE supermarkets
- Chinese forwarding giant → DP World Logistics Park → 100,000 m² hub in 11 months
Logistics isn’t just a business in Dubai 2025 — it is the backbone of a AED 32 trillion economy that pays you to grow.
