How To Start a Textile Business in Dubai?

UAE is a famous destination for Indian businessmen and investors to start a textile business in Dubai. From manufacturing, producing, and selling, every business in Dubai is one of the best profit-making grounds in the world. Furthermore, starting a business in UAE has become very easy after the announcement of full ownership for foreign investors and business owners. Moreover, the textile sector has been flourishing in recent years and is highly profitable.  

Dubai’s textile industry is the 2nd largest industry after the oil-based industry in UAE. With this, the textile business has opened many opportunities for local and international investors. So, if you are an Indian investor or entrepreneur having expertise in the textile sector, Textile Business Setup in Dubai is the perfect fit for you. In this blog, you will get details on the benefits, step-by-step process, documents needed, and cost of doing a textile business.  

Benefits of Starting a Textile Business in Dubai

There are several benefits that Indian investors and businessmen can enjoy in establishing a textile-based business in Dubai. Have a look at the 6 key advantages of doing Textile Business Setup in Dubai.  

1. Mass Population

Dubai is one of the favorite tourist destinations among people all over the world. Furthermore, Dubai is home to foreign investors coming from varied nationalities with different tastes. Businessmen in Dubai enjoy catering to the needs of people with different choices. With a big audience, diverse markets, and increased business turnovers, the textile business in Dubai is an excellent option among Indian and foreign investors and businessmen.  

2. Attaining a Textile License is Easy 

A trade license is a legal necessity that has to be owned by any business set-up that wants to carry out its activities. The textile or any business license in Dubai is issued by the DED (Department of Economic Development) after complete verification of proposed documents.  

3. Absolute Repatriation of Capital & Profits 

Most entrepreneurs stress over the additional capital that they have to pay at the time of establishing or exiting their business. However, Dubai offers full repatriation of capital invested and profits made. So, when it is to the textile business setup in Dubai, you can be stress-free. 

4. Benefits in Taxation 

With 0% personal, business, or income taxation, UAE serves as one of the most tax-friendly places around the globe. So, when it is about payment of textile business tax, Indian investors stay tension-free as Dubai offers complete tax relief.  

5. Easy Business Setup Procedure 

Dubai’s government has been taking several steps to make the business establishing process easy for its Indian and foreign investors. With help of business consultancy firms, you can ease the setting up of your textile business. Nowadays, many Indian investors prefer to choose business setup professionals as it is advantageous and time-effective.  

6. Excellent location on the World Map 

Dubai has one of the world’s best locations which makes global investors prefer this city. Furthermore, Dubai never cuts the supply of products or goods from the neighboring countries. All thanks to its ideal location on the world map, this city serves as a pathway to the surrounding countries and connects itself with the rest of the world. Business owners enjoy easy export-import processes. This further benefits textile businesses to not only grow in Dubai but also scale their business across other countries nearby. 

Steps To Start a Textile Business in Dubai

For Textile Business Setup in Dubai, any Indian investor or entrepreneur has to follow the below-given steps:  

1. Select Your Business Location 

Doing business at the right location can help you grab an audience and market quickly. Always ensure choosing a location that is fit for your target audience to pass by and enter your shop. Once your business location is confirmed, get it registered with DLD (Dubai Land Department) to avail your Ejari. However, Ejari is only a necessity if you like to open a rental textile store.  

2. Choose Your Business Structure 

Your business has to choose a suitable structure or formation that will define its full legal framework. Moreover, any Indian investors wishing to open a textile business can pick from any of the below structures in Dubai city:  

  • Free Zone Company  
  • Mainland Company  
  • Branch office setup of a Local or Foreign Company  

3. Submit Documents for Primary Approval 

When your business legal structure is confirmed, submit all the needed documents to the related legal departments. They will check your documents and if found correct, you will receive primary approval for opening a textile company in Dubai. Later, you can apply for a trading license and conduct the work activities legally.  

4. Obtain Business License 

DED- an agency appointed by the UAE government to issue trade licenses in Dubai. The final step is to get the business license for the textile business setup in Dubai. As soon as all your documents are approved by legal departments, the DED (Department of Economic Development) will issue you the business licenses.  

What Are the Documents Required To Start A Textile Company in Dubai?  

Any businessman wishing to start a textile-based company in Dubai must have the given documents:  

  • Passport copies of the shareholders.  
  • Entry stamp or Visa page.  
  • Passport-size photograph.  

For more information, reach out to our experts.  

What Is the Cost of Setting up a Textile Business?  

The textile business cost in Dubai ranges from 25,000 AED to 30,000 AED. The cost of a textile trade license in Dubai is about 15,000 AED. However, Dubai textile business costs can be higher in the first year due to different factors such as:  

  • Business name registration fee 
  • Government fee 
  • Private sponsor fee  
  • Types of textile you wish to manufacture or trade (basic or luxury) 
  • Tenancy security and lease cost.  


Dubai’s garment sector is growing fast with high demand for luxury products in the market. With UAE’s strong purchasing power and immense affection for luxury, creates opportunities for Indian entrepreneurs and investors to set up textile companies in Dubai.

So, to get an estimate of your business setup needs, it is ideal to approach a professional business consultancy agent. By doing so, you will easily be able to set up a textile business in UAE from scratch and make it run in a week or so. 

Click here to book a free consultation with our experts at Shuraa and know more about setting up your textile business in Dubai.