The government of Dubai has issued around 18,013 e-Trader licences since the beginning of the programme in March 2017, said the Business Registration and Licensing sector at the emirate’s Department of Economy and Tourism (DET) on Monday, 25 April.
The e-trader license scheme allows freelancers and start-ups in Dubai to conduct businesses online and around social networking accounts. One of the objectives behind it is to stop the sale of counterfeit goods on such platforms.
DET said, 13,671 licences are professional, and 4,342 are commercial out of the total licences issued since 2017.
In 2021, the total number of e-Trader licences increased by 6.3% to 6,217, highlighting the growth of the e-commerce sector. In 2020 and 2019, the number of e-Trader licences issued by the Dubai government was 5,848 and 4,344.
The DET said, “This shows the constant focus on publicising e-commerce and the competitiveness of Dubai’s economy, the dedication to realising the government’s vision to drive digital transformation and build awareness about the e-platforms that promote commercial activities.”
After the coronavirus pandemic, the e-commerce market of the UAE grew enormously as customers turned to online shopping even for basic requirements.
As per a report, it is estimated to rise by 60% to around $8 billion by 2025 from 2021. The DET strives to regulate and enhance the ease of doing business online by issuing an e-Trader licence, which is issued electronically. It will also connect customers with traders.
Under this scheme, the e-trader licence holder can’t open a physical shop. Still, if the business is 100% in the hands of an Emirati, only then the licence-holder can acquire three employment visas issued.
Some of the benefits for the holders of e-licence includes Dubai Chamber membership for commercial activities, a customs client code that facilitates import and export, participation in exhibitions, temporary employment services, conferences and training workshop and special offers from banks such as Abu Dhabi Commercial Bank, Commercial Bank of Dubai, Mashreq, Emirates Islamic and Dubai Islamic Bank.