Khalifa Port Free Trade Zone (also known as Khalifa Port FTZ) is a trade, logistics, and manufacturing hub. Khalifa Port, inaugurated on December 12, 2012, by His Highness Sheikh Khalifa Bin Zayed Al Nahyan, President of the UAE and Ruler of Abu Dhabi, is a true showcase of the UAE’s engineering expertise.
In response to the growing worldwide demand for Free Zones, Abu Dhabi Ports has established the Khalifa Port Free Trade Zone (KPFTZ) within the Khalifa Industrial Zone Abu Dhabi (KIZAD), which is set to become the future of trade in the emirate of Abu Dhabi.
Through its agreements with all key government entities within the emirate of Abu Dhabi, Khalifa Port FTZ takes pride in its multitude of business setup options that expedite registration and licensing processes.
As a supplement to the entire value proposition of the industrial zone, the Free Zone also offers executive offices, flexible workstations, and specialized hot desks.
The Free Zone, which is fully connected with Khalifa Port, offers significant tax reductions from VAT as well as various import and export taxes.
The thriving economy and expanding infrastructure make it an ideal destination for businesses looking to set up or expand operations. In this article, we will explore the benefits of doing business in the Khalifa Port Free Trade Zone and provide you with all the information you need to get started.
The Infrastructure of KPFTZ
Let’s discuss the infrastructure of KPFTZ- what it is and how it works.
1. World-class transport infrastructure
Organizations that wish to tap into both domestic and international markets will find Abu Dhabi to be an appropriate location. The multimodal connection to roads and networks is the backbone of the world-class transportation infrastructure that supports the Khalifa Port Free Trade Zone. This facilitates easy access to the Industrial Zone.
2. Environmentally Friendly Building
The structure was designed to blend in with its surroundings and have as little impact on the natural characteristics as possible. A stretched barrier 8 kilometers long that was built in Khalifa Port allows the Gulf currents to flow freely but is designed in such a way that it does not harm the marine biological system that it is entirely secured and protected.
3. A commercial center
The Khalifa port serves as the control center for all shipments. More than twenty shipping lines connect to various global regions, and the transportation network is balanced, allowing for well-organized flow across streets, shipments, and air travel. The Etihad Rail project, which is now under construction, will help with mobility in the future.
4. Industrial Hub
The merger of Khalifa Port and KIZAD creates a profitable potential for growth and expansion in a variety of areas of the economy. The non-oil economy of the United Arab Emirates is growing stronger thanks to its manufacturing network and transportation, and the trade zone is drawing many enterprises.
Required Documents for Setting up Business in KPFTZ
Following is a list of paperwork that is required to form an LLC company in Khalifa Port Free Trade Zone:
- Submission of an Application for Registration and Licensing
- A business plan
- Information on the shareholders
- Information Regarding the Ultimate Beneficial Owner
- A copy of each director’s, manager’s, and secretary’s valid passport is required.
- NOC from the sponsor of the resident visa at the present time (for Manager only)
- Form of Identification for the Registry – Individual (Specimen Signature)
- The proposed Limited Liability Company’s Memorandum of Association and Articles of Association, notarized and legalized
How to Set up a Business in KPFTZ?
Khalifa Port Free Trade Zone assures that the majority of licenses are issued within a week of receipt of the completed application, payment, and all applicable papers through a streamlined and efficient registration and licensing process.
To set up a business, first, whoever intends to open a business in the Khalifa Port Free Trade Zone will need to pick a name for their company and decide on the type of business they intend to operate. Afterward, you must apply for a business license and choose a place for your headquarters.
Khalifa Port Free Trade Zone: Types of Industrial License
Following are the types of Licenses available in the KPFTZ.
1. Industrial License
Khalifa industrial zone permits the importation of raw materials, the manufacture, processing, assembly, and packaging of intermediate and/or completed products, as well as any other industrial operations listed in the Dubai/Abu Dhabi Industrial License.
Dubai’s Industrial sector has now overtaken Trade Logistics and Tourism as the city’s third largest industry. Despite the global economic downturn, Dubai’s tourism industry contributes 11–14% of the city’s GDP and has seen tremendous growth in recent years.
2. General Trading License
Services include management and economic advising, marketing, logistical support such as cargo and freight forwarding, restaurants retail food outlets catering services travel agencies are allowed as long as they adhere to the restrictions indicated in their service license.
There are numerous benefits to holding a general trading license in a Free Zone. The corporation can make use of the available storage space in the Free Trade Zones.
Free Zones in the United Arab Emirates offers a wide range of warehousing options. Individualized storage facilities, such as but not limited to, food storage and cold storage. All of the investors’ needs can be met in the Free Zones. Dubai, Abu Dhabi, and other United Arab Emirates emirates have different fees for general trading licenses.
3. Service License
With this license, you can conduct a wide range of commercial activities as long as you do not violate the terms of the Trading License, including importing, exporting, distributing, stocking, and storing the items listed on the document.
Conclusion
The KPFTZ is 100 square kilometers in size. This free trade zone was established in November of 2016. The construction of this Free Zone near Khalifa Port is aimed at attracting investors from all over the world to Abu Dhabi. It has become more popular over time because of the passage of time.
The ultra-modern deep-water port of Khalifa Port, which is now under construction to accommodate the largest ships, serves the free trade zone. To facilitate the simple import and export of finished items and hefty raw materials, this will be a useful tool.
The Khalifa Port Free Trade Zone, like KIZAD, provides a wide range of options for enterprises and investors from around the world.
If you want information regarding other Free Zones, we suggest you check out our other articles on establishing a company in the free zone. If you want to learn more about how to set up a business in Dubai, we have an in-depth guide for that too.
FAQs About Is Khalifa Port Free Zone?
Is Khalifa Port a Free Zone?
Yes, Khalifa Port is the largest Free Zone area in the United Arab Emirates, which offers successful opportunities for investors and businessmen from all around the world.
How many Free Zones are there in Abu Dhabi?
There are five Free Zones in Abu Dhabi, each catering to a distinct set of industries and markets.
- Abu Dhabi Airport Free Zone (ADAFZ)
- Khalifa Industrial Zone (KIZAD)
- Masdar Free Zone City
- Abu Dhabi Global Market (ADG)
- Industrial City of Abu Dhabi (ICAD)