Dubai CommerCity, is the first free zone dedicated to e-commerce and it is strategically planned to promote Dubai’s position as a leading hub for international e-commerce and to support economic diversification in the area. This project provides fertile environment to attract more direct foreign investments in line with Dubai Plan 2021, which aims to create a unique and sustainable economy based on innovation.
Investors who intend to start-up a business in this free-zone, can enjoy huge benefits such as no taxes, no restrictions on currencies and capital movements, 100% company ownership without local partners.
The new free zone is strategically located near the Dubai International Airport. It provides direct access for e-commerce stakeholders in the Mena and South Asia regions. Investors can benefit from the strategic location close to Dubai Airport, which gives them the opportunity to reach more than 2.4 billion people within five hours.
The Dh.2.7-bilion project is a joint venture between Dubai Airport Freezone Authority (DAFZA) and the Wasl Asset Management Group and is spread out on an area of 2.1-million square feet. According to a recent statement this project has also seen an increase in the total leasable area by 32.5%.
Construction on the world’s first e-commerce-dedicated free trade zone, Dubai CommerCity, will begin next year. The project will be delivered in two phases. Phase 1 will be completed by 2020. Phase 2 will follow the year after.
According to estimates, the e-commerce market is expected to reach $20 billion (Dh73.4 billion) in 2020 in the GCC area (Gulf Cooperation Council).
Over the next five years, the e-commerce sector is projected to account for 10 per cent of the Emirate of Dubai’s retail sales.
The GCC is expected to contribute 43% by 2022 from the Middle East and Africa e-commerce retail market, led by the UAE and Saudi Arabia, the region’s largest and fastest growing markets.
UAE’s e-commerce sector is estimated to reach $10 billion by 2018. This growth, according to the analysts, is due mainly to the young population in the region, with high penetration rates of internet, smart mobile phones and the use of social media.
Dubai CommerCity is aimed primarily at global and regional manufacturers, distributors and global and regional e-retailers, as well as ecosystem companies in the e-commerce industry such as e-payment gateway companies, internet service providers and others.
Dubai always moves towards innovation!
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