Dubai has become one of the world’s fastest-growing hubs for gemstones, precious metals, luxury items, and global trade. With strong demand, tax benefits, investor-friendly laws, and a strategic global location, Dubai is the perfect place for entrepreneurs who want to launch a gemstones business. Whether you plan to sell raw stones, polished gemstones, jewelry pieces, or run an import-export trading company, the UAE market offers unlimited potential.
This guide explains everything you need to know the legal requirements, license types, costs, best free zones, trading structures, and step-by-step business setup procedures.
What Makes Dubai a Global Hub for the Gemstones Business?
Dubai’s gemstones market is known for its credibility, international buyers, and tax-free trading environment. Investors prefer Dubai due to its easy regulations, strong logistics network, and the presence of major trading hubs like Dubai Multi Commodities Centre (DMCC). The demand for gemstones and jewelry continues to grow due to tourism, luxury retail, and international re-export activities.
A Tax-Free Trading Environment
One of the biggest advantages is Dubai’s 0% tax on personal income, which encourages traders to run profitable gemstone businesses. The UAE also offers simplified import-export procedures, making it easy to bring gemstones from Africa, India, Pakistan, Sri Lanka, Thailand, and other major mining regions.
Access to Global Buyers
Dubai has millions of tourists visiting every year, including high-net-worth individuals who purchase precious stones, diamonds, and jewelry. The city’s strategic location also connects Asia, Africa, and Europe, making it a global hub for gemstone trading.
Advanced Infrastructure and Secure Storage
Dubai offers world-class storage vaults, safe logistics services, international cargo handling facilities, and top-level security systems that ensure safe handling of gemstones.
Benefits of Starting a Gemstones Business in Dubai
Before getting into the license and setup requirements, it’s important to understand the major benefits:
100% Foreign Ownership
Foreign investors can own their gemstone company fully in most free zones and many mainland activities.
No Customs Duty on Re-Exported Goods
If you are importing and re-exporting gemstones, Dubai offers minimal customs duties and smooth clearance processes.
Easy Licensing and Approvals
Gemstone trading licenses are easy to obtain through DED (Dubai Mainland) or major free zones like DMCC, IFZA, RAKEZ, and SAIF Zone.
Strong Local and Tourist Demand
Dubai’s luxury retail industry is booming, and gemstones are one of the highest-selling categories among tourists.
Global Reputation for Quality and Trust
Dubai is recognized worldwide as a trusted marketplace for gems, diamonds, and gold due to strict inspection standards and transparency.
Types of Gemstones Business Activities You Can Start in Dubai
You can operate several types of gemstone businesses depending on your expertise and goals.
Trading Raw Gemstones
You can import and export rough stones such as emeralds, rubies, sapphires, garnets, topaz, and more.
Polished Gemstone Trading
Businesses dealing in cut and polished stones for jewelry manufacturing or retail markets.
Jewelry Designing & Manufacturing
You can open a studio or workshop for creating customized pieces.
Retail Jewelry Store
You can launch a high-end retail shop inside a mall or commercial area to sell ready-made gemstone jewelry.
Online Gemstone Store
E-commerce businesses selling gemstones online are also booming due to high demand.
Choosing the Right Jurisdiction for Your Gemstones Business
You can operate your gemstones business through:
Each option has its benefits depending on your market goals.
Setting Up a Gemstones Business on Mainland Dubai
A mainland license is ideal if you want to trade locally in the UAE and sell directly to customers.
Mainland License Advantages
- Operate anywhere in the UAE
- Unlimited visa quota (based on office size)
- Ability to open retail stores
- Easy local distribution contracts
Mainland Requirements for Gemstone Trading
You must apply for a gemstone trading activity under Dubai Economic Department (DED) and comply with trading regulations.
Mainland trading is ideal for physical stores, jewelry shops, and wholesale distributors.
Setting Up a Gemstones Business in Free Zones (DMCC, IFZA, RAKEZ, SAIF Zone)
Dubai free zones offer powerful advantages for international gemstone traders.
Why Choose DMCC for Gemstones?
DMCC is the world’s #1 free zone for commodities trading. It has the famous Dubai Diamond Exchange (DDE), gold vaults, secure storage, and global certification labs.
IFZA for Budget-Friendly Licensing
IFZA provides cost-effective business licenses with fast approvals, ideal for online stores or small trading firms.
RAKEZ and SAIF Zone for Manufacturing
If you plan to manufacture jewelry pieces or run polishing workshops, these free zones offer affordable industrial setups.
Offshore Gemstones Company Setup (Ideal for Global Trading)
Offshore companies are used mainly for:
- Holding gemstones
- International trading
- Owning gemstones businesses in other countries
Offshore companies cannot trade locally in UAE but are perfect for global import-export.
Step-by-Step Process to Start a Gemstones Business in Dubai
Here is the complete setup process explained in detail:
Step 1: Determine Your Business Activity (Trading, Retail, Manufacturing)
You must choose the correct activity so your license permits all your operations — raw gemstone trading, polished stones, jewelry design, e-commerce, wholesale distribution, or international trading.
Step 2: Choose Mainland or Free Zone for Your Company
Select your jurisdiction based on your budget, target customers, and business goals. Free zones offer full ownership and easy setup; mainland gives you full local trading rights.
Step 3: Reserve Your Trade Name
Choose a unique trade name that follows UAE naming rules. The name must not include offensive words, religious references, or political terms.
Step 4: Apply for Initial Approval
Initial approval is issued once your documents are confirmed. It allows you to proceed with further licensing steps.
Step 5: Choose Your Office or Flexi Desk (Mandatory for License Issuance)
All gemstone companies must have either:
- Flexi-desk
- Shared office
- Warehouse
- Private commercial space
Free zones offer economical office options for SMEs.
Step 6: Submit Your Documents and Pay Licensing Fees
The documents required typically include:
Required Documents
- Passport copy
- Visa copy
- Passport-sized photos
- Initial approval certificate
- Lease agreement or Ejari (for mainland)
Free zones may require additional compliance documents for gemstones due to high-value commodities.
Step 7: Receive Your Gemstone Trading License
Once approved, your gemstone trading license will be issued. You can now legally start trading gemstones in Dubai.
Step 8: Open a Corporate Bank Account
Gemstone companies must open a UAE corporate bank account. Banks may ask for:
- Business plan
- Supplier and buyer details
- Proof of business activity
- KYC documents
Step 9: Start Importing and Selling Gemstones
Once your license and bank account are ready, you can begin trading gemstones locally and internationally.
Cost of Starting a Gemstones Business in Dubai
The cost depends on your jurisdiction, office space, and activities. Below is an estimated breakdown.
Mainland License Cost
A mainland gemstone trading license typically ranges between AED 12,500 to AED 20,000, depending on business activities and approvals.
Free Zone License Cost
Free zone costs vary:
- DMCC: AED 50,000+ (premium zone with gold and diamond vaults)
- IFZA: AED 14,000 – AED 17,000
- RAKEZ: AED 10,000 – AED 15,000
- SAIF Zone: AED 20,000+
Free zones also require an office or flexi-desk package.
Additional Costs
- Office rent
- Bank account opening fees
- Import-export code
- Insurance (optional)
- Visa processing
The actual cost depends on the scale of your operations.
Best Locations to Start a Gemstones Business in Dubai
Choosing the right location is crucial for visibility, logistics, and customer access.
Dubai Multi Commodities Centre (DMCC)
DMCC is the world’s leading free zone for gemstones, gold, and diamonds. It houses:
- Dubai Diamond Exchange
- Secure vaults
- Certification labs
- Trading floors
- International gemstone companies
DMCC is perfect for high-value traders, wholesalers, and exporters.
Gold Souk – Deira & Al Fahidi
These iconic markets attract millions of shoppers and tourists every year. You can open:
- Retail gemstone shops
- Wholesale trading stores
- Jewelry outlets
This area is ideal for retail-focused businesses.
Jumeirah Lake Towers (JLT)
Many gemstone traders prefer JLT due to:
- Affordable offices
- Strong business community
- Proximity to DMCC
Al Quoz and Ras Al Khor (For Manufacturers)
These areas are ideal for:
- Workshops
- Jewelry design studios
- Manufacturing units
Legal Requirements for Gemstone Trading in Dubai
Gemstones are considered high-value commodities, so certain legal guidelines must be followed.
Import-Export Code (IEC)
Mandatory for international trading.
Compliance with UAE Customs Rules
All gemstones must be declared accurately at customs.
Adherence to Anti-Money Laundering (AML) Standards
Gemstone trading falls under sensitive commodities. Businesses must follow strict AML rules to avoid violations.
Record Keeping & Transaction Tracking
Invoices, receipts, and supplier data should be maintained diligently.
Documents Required for Gemstone Business Setup in Dubai
You must prepare the following documents:
- Passport copies of shareholders
- Visa pages
- Passport-size photographs
- Office lease agreement or Ejari (for mainland)
- Application form
- Initial approval certificate
- Business plan (for some free zones)
- Utility bill (sometimes required for identity confirmation)
Free zones like DMCC may require additional compliance forms.
How to Import Gemstones into Dubai
Importing gemstones requires following UAE customs procedures.
Declare the Goods Properly
List all gemstones with HS codes and accurate description.
Submit the Required Documents
- Invoice
- Packing list
- Certificate of origin
- Export permit (from the country of origin)
Pay Customs Duty (If Applicable)
Most gemstone imports have minimal duties; re-exported goods often have zero duty.
Get Inspection Clearance
Customs may physically inspect shipments.
How to Export Gemstones from Dubai
To export gemstones internationally:
- Obtain an export declaration
- Prepare customs documents
- Use secure courier services
- Follow destination country regulations
Dubai’s airports and cargo facilities provide excellent export services for fragile and high-value products.
Quality Standards for Gemstones in Dubai
Customers trust Dubai because the city maintains strict quality standards.
Gemstone Certification
Trusted laboratories include:
- GIA
- IGI
- DMCC-authorized labs
Certified stones build trust and command higher prices.
Accurate Grading
Grading evaluates:
- Color
- Clarity
- Cut
- Carat weight
Transparency in Pricing
Dubai encourages open, ethical pricing for gemstones.
Wholesale vs Retail Gemstone Trading
Both models have different benefits.
Wholesale Trading
Ideal for bulk buyers, exporters, and jewelry manufacturers.
Retail Trading
Targets individual customers and tourists.
You can opt for both if your license allows multiple activities.
Common Mistakes to Avoid When Starting a Gemstones Business
Not Keeping Proper Records
Gemstone businesses must maintain clean records to comply with AML laws.
Ignoring Certification
Uncertified stones reduce trust and value.
Choosing the Wrong Jurisdiction
DMCC is ideal for global trading, while mainland is better for local retail.
Not Choosing Reliable Suppliers
Poor-quality stones damage your brand reputation.
Future Trends in Dubai’s Gemstone Market
The gemstones industry is evolving quickly.
Rising Demand for Sustainable Gemstones
Eco-friendly sourcing is gaining popularity.
Boom in Personalized Jewelry
Customers prefer custom designs.
Increase in Online Gemstone Sales
E-commerce is rapidly growing in Dubai’s luxury sector.
Growing Global Re-Export Market
Dubai remains a major re-export hub for Africa and Asia.
Conclusion
Starting a gemstones business in Dubai is one of the most profitable ventures due to high local demand, strong tourism, excellent global connectivity, and supportive business regulations. With the right business structure, certifications, supplier network, and marketing strategy, you can build a successful gemstone trading or retail company in the UAE. Whether you choose mainland Dubai, DMCC, IFZA, or another free zone, the UAE offers endless opportunities for new gemstone entrepreneurs. For expert guidance, licensing, and company formation support, you can always rely on Incorpyfy, Business Setup Company in Dubai.
FAQs
Is it profitable to start a gemstones business in Dubai?
Yes, Dubai is a global luxury hub with strong demand from tourists and international buyers.
Do I need certification to sell gemstones in Dubai?
Yes, certified stones from labs like GIA or IGI are recommended for trust and higher pricing.
Can I sell gemstones online in the UAE?
Yes, you can operate an e-commerce gemstone store with the correct trading license.
Which free zone is best for gemstone trading?
DMCC is the top choice for global gemstone trading due to its diamond exchange and secure facilities.
What is the cost of a gemstone trading license in Dubai?
Costs start from AED 12,500 in mainland and AED 14,000 in free zones like IFZA.
Can I import gemstones to Dubai?
Yes, you need an Import-Export Code and must comply with customs and AML regulations.
Can expats own a gemstone business in Dubai?
Yes, expats can own 100% of their business in most free zones and many mainland activities.
