Overview
The Dubai Airport Free Zone Authority (DAFZA) is a premium free zone situated adjacent to Dubai International Airport, one of the busiest airports globally. Established in 1996, DAFZA hosts over 1,800 companies and provides a strategic location for businesses that depend on air freight, rapid logistics, and international connectivity. The zone has consistently attracted high-profile multinational corporations.
Key Sectors
DAFZA caters to aviation and aerospace, pharmaceuticals and healthcare, IT and telecommunications, logistics and freight, electronics, jewellery, and engineering services. The zone’s proximity to the airport makes it particularly attractive for time-sensitive industries requiring rapid import-export capabilities.
Setup Process
Setting up in DAFZA requires selecting a licence category (trading, service, industrial, or logistics), submitting an application with supporting documents, choosing a facility (office, warehouse, or light industrial unit), and obtaining security clearance due to the airport proximity. The process typically takes one to two weeks with DAFZA’s streamlined administration.
Costs and Licensing
DAFZA licence fees depend on the activity type and number of permitted activities. A standard trading or service licence starts at approximately AED 15,000 per year. Office space ranges from executive desks at around AED 20,000 per year to fully fitted offices in multi-storey buildings. Warehouse facilities are priced based on size, starting from approximately AED 200 per square metre annually.
Benefits
DAFZA provides zero corporate and personal income tax, 100 percent foreign ownership, complete profit and capital repatriation, exemption from import and export duties, and direct airside access for logistics operations. The zone offers dedicated customs clearance facilities integrated with Dubai International Airport cargo terminals.
Ownership Rules
All companies in DAFZA may be 100 percent foreign-owned. No UAE national partner or local service agent is required. Entities can be established as Free Zone Establishments, Free Zone Companies, or branches of foreign companies.
Tax Regime
DAFZA companies benefit from zero percent corporate tax on qualifying free zone income. No personal income tax applies. Customs duties are waived for goods entering and stored within the free zone. The standard UAE VAT rate of five percent applies to taxable supplies.
Infrastructure
DAFZA occupies a modern campus directly connected to Dubai International Airport. Facilities include office towers, warehouses, light industrial units, and logistics buildings with direct cargo ramp access. The zone features business centres, conference facilities, retail outlets, and food courts. It connects to major highways including Sheikh Zayed Road and Al Rebat Street.
Ideal Investor Profile
DAFZA is ideal for aviation services companies, pharmaceutical distributors, electronics traders, logistics firms, and multinationals that need premium office space with seamless air cargo connectivity and the prestige of a Dubai airport-adjacent address.