Dubai As Invoicing Hub

Moving To Dubai | Route For Your Trade Transactions

Moving to Dubai: Discover some of the excellent business advantages of routing your e-commerce and trade transactions through the City of Dubai in the United Arab Emirates

Moving to Dubai: With its unique geographical location, the City of Dubai is ideally positioned as a base for trading across borders. It has an excellent infrastructure that makes for seamless dealings with the private sector and government agencies.

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Major stakeholders in the trade and logistics operations

DP World owns ports around the world and has more than 65 marine terminals across six continents. The company was founded in 2005 by merging Dubai Ports Authority and Dubai Ports Economic Zones World (EZW.)

Dubai Customs is the Government body that supports the progress of free trade and helps to secure the integrity across the City of Dubai’s borders.

Economic Zones World (EZW) operates under the Dubai World Group to develop and run economic zones, technology, logistics and industrial parks globally.

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Moving to Dubai: How it Works

Moving To Dubai | Route For Your Trade TransactionsServices are provided for traders, shipping lines and agents, clearing and forwarding agents, haulers and Free Zone licensees that include marine services, manifest and cargo handling services, cargo clearance and haulage services, invoicing and payment services and Free Zone services.

All are designed around customer needs and their complete satisfaction.

Through the initiative, Economic Zones World, in collaboration with Dubai Customs, a system is in place that allows participants to trade online. The founding partners of this initiative are Aramex, Cupola, CWT-SML Logistics, Dubai Trade, MasterCard, Mohebi Logistics and Shop Go.

Moving to Dubai: Features of the system

  • E-commerce tailored regulations
  • One-stop shopping solutions
  • Physical fulfillment facilities and services
  • Financial infrastructure
  • Payment gateway
  • E-marketplace platforms
  • Call centre services

The e-commerce hub’s financial infrastructure and payment gateway allows for the processing of international, regional and local credit cards, prepaid cards, debit cards or direct debit.

It also offers e-commerce platforms to service enterprises or start-ups targeting B2C or B2B with customized storefronts, payment gateway integration, products configuration, back end integration with accounting systems and other web services.

A company will be able to list a product, ship it to customers through a third-party fulfillment service and collect payments, all through e-market service providers while running your business from the City of Dubai.

According to Visa International, the GCC e-commerce industry is estimated to grow by 35% year-on-year to 15 billion USD in 2015, making it the world’s fastest growing market for e-commerce.

Currently, the regional e-commerce market is valued at 8 billion USD. There are over 90 million internet users across the Middle East and North Africa regions, according to Internet World Stats.

The number of online retailers has steadily climbed in the region over the last few years, with the United Arab Emirates making up the biggest share of the region’s e-commerce market.

The benefits of E-commerce Trade Transactions through the city of Dubai:

  • Around-the-clock availabilityMoving To Dubai | Route For Your Trade Transactions
  • Speed of access
  • Accessibility to a wider selection of goods and services
  • International reach

How does Dubai work as invoicing hub

Many organizations also use Dubai registered entities whether local or free zone for the purpose of routing a trade transaction via Dubai.

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Moving to Dubai: There are three options here

1. Goods can be shipped to Dubai physically and be re-exported from Dubai to their ultimate destination either fully or split into smaller consignments. Dubai’s hassle free customs regime and ease of paperwork and excellent infrastructure in ports helps a great deal.

Freight forwarding and logistics agencies are plentiful, modern and connected worldwide. Many markets in countries in Africa and Middle East benefit from this arrangement.

2. Goods are shipped to their ultimate destination. Goods do not touch the Dubai port physically. However the invoicing and shipping documents are made first to Dubai based company and the freight agents replace the shipping documents invoice and Certificate of Origin to reflect the transaction of sale from Dubai entity to the ultimate buyer.

This method can be useful when the Dubai intermediary company as the agent for the deal would like to keep the identity of the original shipper as secret.

Moving To Dubai | Route For Your Trade Transactions3. In some cases goods need to be rebranded, repackaged or inspected prior to shipping. Dubai as invoicing hub can perform this operation.

Warehousing space is available economically as compared to many European countries. Labour is relatively cheaper too. Infrastructure conforms to international norms.

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Dubai As Invoicing Hub was last modified: March 29th, 2016 by Ramapati Singhania

Ramapati Singhania

He strives for excellence in all he does and brings out the best in his people through guidance, a strong vision and support. He is exceptionally open-minded, flexible, dependable, understanding and straightforward in all words and actions and encourages personal as well as professional growth.

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