Jebel Ali Free Zone Authority (JAFZA)Starting a business in JAFZA is a wise decision in all the aspects. There is no place in Dubai to start a business with such a strong economic and trading base except the Jebel Ali Free Zone. And the demand among foreign investors to be a part in the zone is a strong sign that how JAFZA is growing everyday.
History of JAFZA
Jebel Ali Free Zone Authority is the key catalyst of business and trading activities undergoing in the emirate of Dubai. Once the major financial source of Dubai was from the pearling industry. The ancient Arabs used to dive through the bottom of ocean for collecting pearls from oysters till the time, when westerners invented the artificial pearls. Later the rulers identify the trading potential of the emirate, because its strategic location acting like a trading gateway between the major three continents. From that day, Dubai has started its evolution to be known as the prime business market in the entire Gulf region.
The establishment of JAFZA in 1985 by His Highness Sheikh Rashid Bin Saeed Al Maktoum is becoming the prime factor of attracting foreign investments to the emirate. In the year of 1985, it just had 19 companies registered with the free zone. Expansions and wise decisions of the great visionary leaders could make the free zone as one of the top in entire UAE, which is capable to accommodate free zone as well as offshore business partners.
Geographical location and advantages
The Jebel Ali Free Zone is situated in the Jebel Ali area at the far western end of Dubai, United Arab Emirates, near Abu Dhabi. Its physical location is having tremendous advantages which are also a part of JAZA's success story. Jebel Ali Free Zone could impress the investors from all over the world, because it is placed like a trading hub between the Europe, Asia and Africa. One could simply export the products or materials to these continents easily.
When counting the advantages of JAFZA regarding its location, the presence of the world's largest man made seaport Jebel Ali Port is in the top of the list. JAFZA is just a 15 kilometer away from Port of Jebel Ali, which is capable to handle 5 million containers annually. Because of the neighborhood with one of the top sea ports, businesses operating under JAFZA are able to send and receive cargo to any corner of the world in an efficient and cost effective manner.
Another star attraction in the Geo location of JAFZA is, the presence of Dubai International Airport. A 30 minutes drive through the highway network will reach from JAFZA to Dubai International Airport. Nearly 2.5 million tons of cargo capacity with a connection to 270 destinations around the world using 140+ international airlines, it is doubtless that Dubai International Airport is able fulfill the transportation needs of businesses operating under JAFZA.
Last not least in the location advantage list of JAFZA, Al Maktoum International Airport, which is will be the world's largest cargo airport is having 18km distance from the free zone authority. Dubai World Central or Al Maktoum Airport is considering becoming a major milestone in Emirate's trading history. So its presence near to JAFZA will multiply the capability of the zone to make transportation in an ultimate efficient ways.
Importance of JAFZA
Starting with a 19 companies, Jebel Ali Free Zone is now a home for more than 7000 companies in which hundreds of them are fortune 500 establishments. From this huge list of partner businesses, every year JAFZA is making an approximate of 135,000 job vacancies. This massive amount of job vacancies not only making the country a destination for qualified professionals, but also contributing to the emirate's tourism income. JAFZA is holding more than 20% of UAE's direct foreign ownership. And JAFZA was the first free zone received ISO certificate in 1996.
More than 50% trade activities across the emirate of Dubai is happening through JAFZA business network, which worth a trade value of USD 69 billion. The Jebel Ali Free Zone is a prime source of UAE's non oil income, when the country is aiming for economic diversification projects. In 2007 JAFZA could generate an income of AED 112 billion to the nation's annual economy.
Business potential of Jebel Ali Free Zone
Apart from the state of the art infrastructures and connectivity options, JAFZA is also a good business platform because of its cost effective and complex free atmosphere. The day to day increasing partner list is a vital evidence in JAFZA's business friendly nature. Jebel Ali is offering two modes of business formation structures, that are Free Zone setup and Offshore setup.
Free Zone Business Setup
Even the emirate of Dubai is having tons of free trade zones, no one can replace the position of Jebel Ali among them. With over a 27 years of business experience, JAFZA is one of the oldest and versatile business location in Dubai, which offering a 100% foreign ownership facilities for its investors. Jebel Ali free zone authority is a place that suits for all business needs. The free zone advantages of JAFZA are not limited to the following
- 100% foreign ownership.
- 0% corporate tax for a period of 50 years
- Unrestricted repatriation of capital and profits
- 0% import and export duties
- 0% personal income tax
- No currency restrictions
- No restriction on hiring foreign employees
- The facility to mortgage owned premises on leased land.
- Access to abundant energy makes it cost-effective for clients to conduct production operations
Offshore business setup
If someone wishes to make use of the massive trading and other business potentials of Dubai, while not planning to trade in the country, offshore business form is an ideal option. From May 2003, JAFZA become able to give licensees and to be a platform for offshore business formations. More in depth details about the Offshore business formation in Dubai can be found on this page.
Starting a business under the stable and visionary leadership by making using all the benefits including trading and marketing potentials, Dubai is offering a place like heaven for business people. The beauty of the emirate, mixed culture, freedom to enjoy life, secure and low crime rate city, warm Arab hospitality are the key attraction of Dubai. JAFZA is an important choice when somebody needs to have a business platform in Dubai.