When setting up a company in Dubai, one of the most common questions entrepreneurs face is choosing between Dubai Multi Commodities Centre (DMCC) and Jebel Ali Free Zone Authority (JAFZA). Both are leading free zones, but they serve slightly different business needs.
In this blog, we will compare DMCC vs JAFZA to help you decide which free zone is the right choice for your business in the UAE.
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Overview of DMCC and JAFZA
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Dubai Multi Commodities Centre (DMCC): Established in 2002, DMCC is the world’s number one free zone for commodities, trade, and service-based businesses. It is located in Jumeirah Lakes Towers (JLT), in the heart of Dubai.
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Jebel Ali Free Zone Authority (JAFZA): Founded in 1985, JAFZA is one of the oldest and largest free zones in the region. It is strategically located near Jebel Ali Port and Al Maktoum International Airport, making it highly suitable for logistics, manufacturing, and large-scale trading companies.
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DMCC vs JAFZA: Key Differences
1. Business Activities
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DMCC: Best for trading commodities (gold, diamonds, oil, tea, coffee), professional services, IT, consultancy, and financial firms.
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JAFZA: More suitable for heavy industries, logistics, shipping, manufacturing, and warehousing businesses.
2. Location Advantage
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DMCC: Centrally located in Dubai city, ideal for offices, networking, and professional services.
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JAFZA: Located near the Jebel Ali Port, perfect for businesses requiring port access, warehouses, and export-import trade.
3. Company Ownership and Taxes
Both DMCC and JAFZA offer 100% foreign ownership, 0% personal income tax, and exemption from import/export duties, making them highly attractive for global investors.
4. Infrastructure and Facilities
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DMCC: Premium office towers, co-working spaces, retail outlets, and residential communities.
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JAFZA: Large industrial plots, warehouses, and storage facilities designed for logistics and heavy operations.
5. Cost of Setup
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DMCC: Generally more affordable for startups, consultants, and SMEs.
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JAFZA: Higher costs due to larger facilities, but suitable for companies requiring warehouses and industrial space.
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Benefits of Choosing DMCC
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100% foreign ownership
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Wide range of licenses and business activities
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Strategic location in central Dubai
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Global networking opportunities
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Simplified digital company setup process
Benefits of Choosing JAFZA
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Access to Jebel Ali Port – the largest seaport in the Middle East
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Ideal for logistics, shipping, and large trading companies
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Industrial land and warehouse availability
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Established reputation since 1985
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Strong support for multinational corporations
DMCC vs JAFZA: Which One Should You Choose?
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Choose DMCC if your business is service-based, consultancy-driven, or focused on global commodity trading.
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Choose JAFZA if your business requires warehouses, logistics, industrial land, or direct port access.
Ultimately, the decision depends on your industry, budget, and long-term growth strategy.
Conclusion
Both DMCC and JAFZA offer world-class infrastructure, 100% foreign ownership, and tax advantages. However, while DMCC caters more to service-oriented and trading companies, JAFZA is better suited for logistics, shipping, and large-scale industrial businesses.
Working with a professional consultancy like Top Next Consultants can help you assess your business needs and guide you in choosing the most suitable free zone in Dubai.