e-Trader licence records 6% growth during 2021 compared to 2020
IP John
DUBAI- (Press Release from DET) The e-Trader licence, launched by the Business Registration & Licensing (BRL) sector in the Department of Economy and Tourism (DET), Dubai, to license freelancers at their place of residence in Dubai and enable start-ups to conduct business activities online and across social networking accounts, has seen overwhelming response with 16,409 licences issued since its launch in March of 2017 till end of 2021.
The BRL sector also reported that the total number of e-Trader licences issued in 2021 reached 6,217, an increase 6% compared 2020 as the total number of licenses reached 5,848 licenses. This reflects the continuous focus on promoting e-commerce and the competitiveness of Dubai’s economy, as well as the commitment to realising the vision of the government to drive digital transformation and build awareness about the e-platforms that facilitate commercial activities.
This shows the growing momentum of e-shopping in Dubai, as the emirate has become a platform for the largest e-commerce companies in the world, led by its flexible business and investment environment, government integration with the private sector and its logistical advantages, as well as strategic location that facilitates global trade.
The growth also reflects the ongoing efforts to consolidate the emirate’s position as a global platform for e-commerce, based on its importance in driving growth and supporting economic diversification policies. The ‘UAE eCommerce Landscape’ study, conducted jointly by DET and Visa in 2020, showed Dubai leading the list of the fastest-growing and developing e-commerce markets in the Middle East and North Africa, as a result of conducive policies, strategic plans and smart government initiatives initiated under the directives of His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President and Prime Minister and Ruler of Dubai. This digital transformation has enhanced the confidence of investors in the sector and its opportunities for growth and development.
e-Trader aims to licence startups and business activities that operate from their place of residence, online or on social networking sites. The licence, which is issued electronically, aims to guide traders towards the right path to enter the business world.
According to the BRL sector’s report, 79% of the e-Trader licences issued in 2021 were professional, and 21% were commercial. Information Technology, Ready made garments, Women’s tailoring and design, Handicrafts, Men’s tailoring and design, Publishing and printing services, Facility management, Marketing services, and Preparation of Food, topped the list of activities of the licences issued in 2021.
Through e-Trader licence, DET seeks to regulate and enhance ease of doing business electronically, find a platform that supports and develops trade as well as connect customers with traders. The licensee cannot open a shop/store but can avail of three visas if the ownership is 100 % Emirati and legal liability falls under the licence holder.
The BRL sector focuses on providing support to e-Trader licence holders by signing partnerships with government and private sectors, providing facilities for their business growth as well as opening new channels by enhancing cooperation with major sales outlets.
The benefits of getting the e-Trader licence include: getting Dubai Chamber membership for commercial activities, benefitting from bank facilities, getting Customs Client Code, which facilitates import and export via dubaitrade.ae, temporary employment services, participation in exhibitions & conferences and training workshop, displaying of products in consumer points of sale and providing work space.
