Dubai has long been a magnet for traders and entrepreneurs. Its location alone – sitting at the crossroads of Asia, Europe, and Africa makes it one of the most strategic places on the planet to run a trading business. And if you want to trade a wide variety of goods without setting up multiple companies, a General Trading License in Dubai is the tool you need. But what exactly can you trade under this license? And what falls outside its scope? Let’s break it all down clearly.
General Trading License in Dubai (2026): What You Can and Cannot Trade
2026 brings updated rules and renewed opportunity. Let’s start with the foundation.
What Is a General Trading License?
A General Trading License is a commercial permit issued either by the Department of Economy and Tourism (DET) in Dubai or by a free zone authority. It allows a single business entity to import, export, distribute, and sell multiple, unrelated product categories — all under one license. This is what sets it apart from a standard trade license, which typically locks you into a single product category. With a general trading license, you could be selling electronics one quarter and adding home goods or apparel the next — without needing to apply for a new permit each time.
It works well for importers, exporters, wholesalers, distributors, e-commerce sellers, and businesses that simply want flexibility in what they sell.
What Products Can You Legally Trade in 2026?
This is the part most people want to know. The short answer is: a lot. The general trading license covers a broad range of goods, provided they are legally permitted in the UAE.
Here are the main categories:
Everyday Consumer Goods
- Clothing, accessories, and footwear
- Furniture and home décor items
- Toys and games
- Stationery and office supplies
- Kitchenware and household products
Electronics and Technology
- Consumer electronics (phones, laptops, tablets)
- Computer hardware and peripherals
- IT accessories and gadgets
- Home appliances
Food and Beverages (Packaged)
- Packaged and processed food items
- Non-alcoholic beverages
- Confectionery and snacks
- Canned and dry goods
Industrial and Commercial Products
- Machinery and industrial equipment
- Building materials and construction supplies
- Spare parts and tools
- Safety equipment (general use)
Other Common Categories
- Cleaning and hygiene products
- Cosmetics and personal care items (non-pharmaceutical)
- Sports equipment
- Agricultural supplies (general)
If your products fall under any of these buckets and aren’t restricted by UAE law, you’re generally good to go under a standard general trading license.
Products That Need Extra Approvals
Not everything is straightforward. Certain goods fall into regulated categories, meaning the general trading license alone isn’t enough. You’ll need additional permits or approvals from specific government bodies.
Here’s what requires extra clearance:
- Pharmaceuticals and medicines — Ministry of Health authorization is required, along with product registration
- Alcohol and tobacco — Special permits needed. Excise rules and distribution regulations apply
- Medical devices and health supplements — Must be registered with the relevant authorities before trading
- Chemicals and hazardous materials — Environmental and municipal clearances required
- Security and surveillance equipment — Strictly regulated; specific approvals needed
- Vehicles and auto parts (select categories) — Transport authority approval may be required
- Weapons and firearms — Heavily restricted. Needs specific licensing and is not covered under a general trading license
The key thing to note is that having these restrictions doesn’t mean you can’t trade these goods. it just means there’s a separate approval process on top of your trading license. Many businesses do trade in pharmaceuticals and medical devices legally; they simply go through the right channels.
Mainland vs. Free Zone: Does It Change What You Can Trade?
The products you can trade are largely the same regardless of whether you set up on the mainland or in a free zone. The bigger difference is in how you operate.
- Mainland (under DET): You can sell directly to the UAE local market. Following recent regulatory reforms, 100% foreign ownership is now available for most mainland general trading activities. So the old requirement of having a local sponsor has been removed for most sectors.
- Free Zone (DMCC, JAFZA, IFZA, SPC, and others): You get full foreign ownership, import/export tax benefits, and full profit repatriation. The trade-off is that to sell directly on the mainland, you’ll need an additional permit from the DET. Free zone companies are well-suited for businesses focused on international trade and re-export.
Some free zones also allow you to add e-commerce, warehousing, or fulfillment activities to the same license, which is useful if you’re running an online business.
How Much Does It Cost?
Setup costs for a general trading license in Dubai typically range from AED 15,000 to AED 50,000 or more, depending on the jurisdiction, office space requirements, and any additional approvals needed. Free zone options tend to be on the lower end of that range, while mainland setups can vary more widely based on office rental and activity fees. Annual renewal is also required, so factor that into your planning.
A Few Things Worth Knowing Before You Apply
Getting the license itself is only part of the picture. Here are some practical points that often catch new traders off-guard:
- You’ll need to register for customs clearance and obtain an import code to bring goods into the UAE.
- If your annual turnover exceeds AED 375,000, VAT registration is mandatory.
- The license issued in Dubai is valid within Dubai only. If you want to operate in other emirates, you’ll need additional licenses for those jurisdictions.
- Office space is typically required, especially for mainland companies, since general trading involves physical goods.
Is a General Trading License Worth It in 2026?
For most traders, yes. Dubai’s trade volumes continue to grow — the city saw a 7.2% year-on-year increase in trade in Q1 2025 alone — and the infrastructure (ports, airports, warehousing, logistics networks) is genuinely world-class. The general trading license gives you flexibility to move across product lines without bureaucratic headaches every time the market shifts. Combined with the 100% foreign ownership rules now in place for most sectors, it’s become significantly more accessible for international entrepreneurs than it was even a few years ago. The main thing to do before applying is map out exactly what you plan to trade. If any of your products fall into restricted categories, factor in the extra approval timelines and costs upfront. And when you’re ready to get your General Trading License in Dubai, our team at Damaar is just a conversation away.
