Dubai is famous for its luxurious jewellery shops and export of jewellery to several countries around the world. The jewellery market in Dubai accounted for approximately 12 billion dirhams of revenue last year and is likely to grow even higher in the coming years. That is why foreign investors looking to start a successful business in Dubai can seriously consider the jewellery industry. For foreign investors keen to set up a jewellery business in Dubai, this is the right time to do so! Here is everything you need to know about starting a jewellery business in Dubai.
Why Start a Jewellery Business in Dubai?
If you wish to start a jewellery business anywhere in the world, then it should be Dubai! Below are some of the reasons why.
- Heavy Influx of Customers: Being a popular international tourist destination, tourists from around the world visit Dubai in all seasons, so there is always a heavy influx of customers in the country.
- Cheaper Price: People tend to come to Dubai to specifically buy jewellery because it is cheaper here than in their own countries. Since taxes are low in Dubai with no value-added tax imposed on the sale of gold, the overall price of jewels becomes much lesser, attracting more customers.
- High Quality of Metals: The quality of precious metals sold in Dubai is famous globally and is always in high demand. That is why a jewellery company win Dubai will never fall short of customers.
- Asian Customers: Asians have a fetish for gold and spend large sums of money on lavish gold jewellery. So, there will never be a shortage of customers coming from Asia.
- Home to HNIs: Dubai is home to some of the wealthiest, high net-worth individuals of the world, ensuring high demand for precious jewellery.
- Safe Place for Jewellery Business: Dubai is the safest place to set up your jewellery business. This is because the local government has laid specific regulations and imposes rigorous checks on people who bring gold and other precious metals to sell in Dubai Souk – the emirate’s most famous gold market.
- Business Growth: Starting a jewellery business in Dubai will be very beneficial in the long run as you can grow and go international in no time.
How to Start a Jewellery Business in Dubai?
To start a jewellery business in Dubai, you need to plan and get your company registered properly. Once you set up your company, establish connections with international channels, and form a supply chain, you will start profiting from your business. The following are some of the key requirements to start your jewellery business in Dubai.
- Registering Your Jewellery Company:
- To start a jewellery business in Dubai, you can register your company either in Mainland Dubai or in one of the Dubai Free Zones.
- In case you decide to set up in a free zone, then the Gold and Diamond Park Free Zone will be perfect for your business, given its name. Moreover, you wouldn’t need a local partner or sponsor when opening a jewellery business in this free zone.
- Getting a Licence:
- You have to decide which channel option you are going to use to incorporate their company into the jewellery industry: the Dubai Multi Commodities Center (DMCC) or the Dubai Department of Economic Development (DED)
- The DMCC licence is meant for investors who are looking to start their business in a free zone. The benefits of a free zone setup are that you do not need any local sponsors and you get 100% ownership of your business. Investors registered with the DMCC have a membership of Dubai Diamond Exchange (DDE).
- You can get a licence from DED, so you can set up a shop in the Gold Souk market and deal with customers directly, or set international trade close to Port Rashid.
- Hiring Staff:
- To start a jewellery business in Dubai, you will need a manager. The DED requires you to hire a manager before your registration is completed.
- Fulfilling Requirements to Sell Jewellery:
- Quality of Materials used: You can do both retail and wholesale of gold and other precious metals in Dubai. Whether you decide to set up a stall in the Gold Souk market or one of the malls in Dubai, you need to fulfil the requirements pertaining to the quality of the materials used in creating jewellery pieces.
- EXIM Inspection Procedures: Dubai jewellery companies can also import or export precious metals or ready-made jewellery pieces. However, they must obtain a customs code number and get their jewels to first pass the inspection procedures imposed by the Gold Office.
Setting up a jewellery business in Dubai requires huge investments to be done right according to the laws and jurisdictions of the government. If you are keen to start a jewellery business in Dubai and need more information, then our company formation advisors at Creative Zone can help. We provide the best consultation on starting your own business in the emirate and making it a success in the coming years.
So, are you ready to start a jewellery business in Dubai? Call us at 800 LICENSE (5423673) to speak to one of our business setup advisors today!