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Your First Business in the UAE? Avoid These Common Pitfalls

Dubai Industrial Park (DIP) Benefits for Different Industries

Fueling Industrial Excellence in One of the Region’s Largest Manufacturing and Logistics Hubs

Dubai Industrial Park (DIP), part of Dubai Holding, is a strategically developed industrial zone located near the Expo 2020 site and Al Maktoum International Airport. Designed to support manufacturing, logistics, and trade, DIP spans over 55 sq. km and serves as a major industrial hub within Dubai’s diversified economic vision.

Core Benefits for All Industries

Strategic Industrial Location:

  • Located in Dubai South, with direct access to Sheikh Mohammed Bin Zayed Road (E311) and Emirates Road (E611).
  • Proximity to Jebel Ali Port and Al Maktoum International Airport ensures efficient logistics.
  • Planned integration with Etihad Rail to boost GCC-wide distribution.

Business-Ready Infrastructure:

  • 100% foreign ownership and repatriation of profits in the Free Zone.
  • Access to Dubai’s robust banking, logistics, and talent ecosystem.
  • Purpose-built zones for manufacturing, warehousing, and labor accommodation.

Flexible Leasing Options:

  • Pre-built industrial units, warehouses, and land for development.
  • Long-term lease structures to support business scalability.

Benefits to Different Industries

Manufacturing Industry

Tailored Industrial Support:

  • Provides zoned areas for light, medium, and heavy manufacturing, ensuring reliable power (with an over 650 MVA capacity in DIP) and a water supply, high-load-bearing floors, and secure facilities. This is ideal for the production of machinery, steel, plastic, chemicals, and building materials.
  • Dubai Industrial City (DIC), a key industrial hub, aims for over 500 operational factories by 2026 and attracted over $272 million (AED 1 billion) in investments from local and global manufacturing companies in 2023, with customer numbers growing 17%.

Built-to-Suit Flexibility:

  • Companies can customize their facilities on allocated plots for specific operational needs, with streamlined approvals and development support. DIC recently launched a 13.9 million sq. ft. expansion of industrial land, bringing its land lease portfolio occupancy to 97% in Q1 2024.
  • This flexibility supports strategic initiatives like “Operation 300bn,” aiming to increase the industrial sector’s GDP contribution from AED 133 billion to AED 300 billion by 2031.

Proximity to Supply Chains:

  • Fosters close collaboration opportunities with suppliers and distributors within Dubai Industrial Park (DIP) and nearby logistics zones. The manufacturing sector contributed 9.1% of Dubai’s GDP (AED 10.6 billion) in Q2 2024, benefiting from Dubai’s robust logistics network.
  • Companies here can leverage efficient transportation networks, including proximity to Jebel Ali Port and Al Maktoum International Airport, crucial for efficient distribution and reduced logistics costs.

Food & Beverage Industry

Dedicated F&B Zone:

  • Offers a specialized cluster for food manufacturing, processing, packaging, and cold storage, with infrastructure complying with stringent Dubai Municipality health and safety standards. Dubai Municipality conducts rigorous inspections and implements comprehensive regulatory frameworks aligned with international food safety standards (WHO, Codex Alimentarius), ensuring high food safety confidence.
  • Dubai has over 25,800 food service establishments, including 8,227 restaurants and 3,257 coffee shops, supporting robust demand. Dubai is also developing the world’s largest fresh food hub to enhance regional distribution.

Halal and Export Certification:

  • Provides easy access to halal certification bodies and testing labs for export-ready compliance. The UAE Halal Food market was valued at $94.57 billion in 2022 and is projected to reach $185.60 billion by 2032 (7.02% CAGR), highlighting the importance of certified products.
  • Features an advanced cold chain logistics infrastructure for perishables. Dubai’s cold storage network has evolved significantly, with facilities offering multiple temperature zones (from +1°C to -30°C) and strategically located near major ports and airports for immediate transfer, minimizing cold chain breaks for time-sensitive imports/exports. The cold storage market in the UAE is projected to reach USD 7.65 billion by 2030.

Sourcing and Distribution Hub:

  • Boasts excellent connectivity for importing raw materials and exporting finished goods across the GCC and MENA. Dubai’s strategic location facilitates substantial trade; the UAE food and beverage sector was valued at $13 billion in H1 2024 and is projected to reach $43.98 billion by 2029 (17.09% CAGR).
  • Jebel Ali Free Zone (Jafza) alone hosts over 550 F&B companies in a dedicated 1.57 million sqm cluster, facilitating over 20% of Dubai’s F&B trade value and providing access to over 3.5 billion consumers. The UAE imports 90% of its food, making it a vital gateway and re-export center.

Logistics & Warehousing

Advanced Storage Solutions:

  • Offers a wide range of storage units, including general, temperature-controlled (from +1°C to -30°C), and specialized warehouses, with modular space options starting from 5,000 sq. ft. Dubai’s cold storage market for fruits and vegetables alone is projected to reach USD 7.65 billion by 2030.
  • Dubai boasts extensive warehousing facilities, with options available from small units up to hundreds of thousands of square feet, including large standalone options.

Third-Party Logistics Ecosystem:

  • Home to regional 3PL leaders offering comprehensive packaging, fulfillment, and last-mile delivery services. The UAE logistics market is valued at approximately USD 21.63 billion in 2025, with the warehousing and distribution services segment expected to be the fastest-growing from 2025 to 2030. Major 3PL providers like Aramex, DHL, and FedEx have strong presences in Dubai.

Integrated Distribution Network:

  • Features multimodal access, allowing goods to move quickly across sea, air, and road freight networks. This includes seamless integration between Jebel Ali Port (ranked among the top 10 container ports globally, handling over 14 million TEUs) and Al Maktoum International Airport (DWC Cargo Terminal, set to handle 12 million tonnes of cargo annually), linked by a bonded corridor enabling 4-hour sea-to-air transfers.
  • This robust network enhances efficiency, reduces transit times, and supports Dubai’s strategic position as a critical global trade hub.

Building Materials & Construction Sector

Heavy Industrial Plots:

  • Dubai Industrial Park (DIP) provides large, isolated plots with heavy load infrastructure designed for the production of materials like cement, steel, tiles, and insulation. The UAE has a significant cement production capacity, with Dubai holding around 4.44 million tonnes/year of cement grinding capacity. The UAE’s long steel production capacity was 7.72 million tonnes per year in 2022, with plans to expand to 15 million tonnes annually by 2030.
  • This infrastructure supports the robust construction market in the UAE, valued at USD 66.89 billion in 2024 and projected to reach USD 96.06 billion by 2030 (6.06% CAGR).

Cluster-Based Operations:

  • Facilitates easy coordination with construction equipment manufacturers, suppliers, and regional buyers. DIP’s cluster approach streamlines supply chains and fosters collaboration among related industries. Dubai’s construction pipeline is valued at over $374 billion, highlighting a sustained demand for building materials and integrated supply solutions.

Bulk Storage & Transportation:

  • Offers abundant outdoor storage space and truck access for oversized items, crucial for handling large volumes of construction materials. Dubai Industrial City (DIC), part of DIP, provides secure, fully serviced open yards for rent, specifically designed for efficient outdoor storage of construction materials, equipment, and vehicles, with 24/7 monitoring and over 105km of road network. This ensures seamless movement and logistics for large-scale projects.

Automotive & Spare Parts Industry

Auto Parts Manufacturing & Distribution:

  • Facilities are well-suited for mechanical workshops, vehicle assembly, and spare parts warehousing. The UAE automotive manufacturing market is valued at USD 848.7 million in 2024 and is projected to grow at a CAGR of 3.4% to 2030, driven by investments in technology and infrastructure.
  • Dubai Industrial Park (DIP) provides an ecosystem that supports the entire automotive value chain, from component manufacturing to assembly. While large-scale vehicle assembly in Dubai is still emerging, facilities like M Glory Holding Group in Dubai Industrial City (part of TECOM Group, like DIP) have a plant with a temporary assembly line with a maximum production capacity of 10,000 electric cars per year, with plans for a 55,000-car capacity sustainable facility in the next two years.

Strategic Location for Re-exports:

  • DIP is strategically positioned for businesses targeting the GCC, East Africa, and South Asia automotive markets. The UAE automotive aftermarket component market, including re-exports, is projected to witness a CAGR of 3.43% from USD 1.61 billion in 2024 to USD 2.11 billion in 2032.
  • Dubai’s role as a global trade center, coupled with its well-developed logistics network, facilitates efficient distribution and availability of automotive components across these key regions. Major players like Chery Automobiles Co. Ltd. have established large spare parts warehouses in the UAE to serve these markets.

B2B Trading Environment:

  • Ideal for traders, wholesalers, and OEM (Original Equipment Manufacturer) distributors seeking hub-and-spoke logistics solutions. The UAE automotive retail market itself is poised to reach over US$25.16 billion by 2032 (15.29% CAGR), indicating a robust local market in addition to re-export opportunities.
  • The presence of over 3.5 million vehicles on the roads in the UAE, with 1.8 million in Dubai alone, drives significant demand for aftermarket parts and services, making it a lucrative B2B environment.

Why Choose Dubai Industrial Park (DIP)

Specialized Benefits:

  • Sector-Specific Zoning: Offers purpose-built clusters for logistics, base metals, food & beverage, chemicals, transport, and machinery. Dubai Industrial City (part of DIP) aims for over 500 operational factories by 2026 and attracted over $272 million in investments in 2023, with a 17% customer growth.
  • Sustainability & Utility Infrastructure: Features smart energy solutions with over 650 MVA power capacity, advanced drainage systems, and waste treatment facilities. This aligns with Dubai’s focus on eco-efficiency, including initiatives to reduce energy and water consumption by 30% by 2030.
  • Cost-Effective Operations: Benefits from competitive lease rates, reduced overheads, and proximity to labor accommodations, helping to reduce overall operational costs. Companies may benefit from customs duty exemptions on imports and re-exports, while corporate tax applies as per the UAE Federal Tax Law.
  • Scalable Growth Platform: Supports expansion for SMEs to multinationals with access to significant land banks (e.g., a recent 13.9 million sq. ft. expansion of industrial land), support services, and long-term planning flexibility. This drives the “Operation 300bn” strategy, targeting AED 300 billion GDP contribution from industry by 2031.
  • Support Services: Provides comprehensive on-site support, including labor villages, staff housing, business centers, and assistance with visa processing, banking, and insurance services, streamlining business setup and operations.

Dubai Industrial Park stands at the intersection of production and progress, offering end-to-end solutions for manufacturers, traders, and logistics players. Whether you’re launching a factory or scaling distribution, DIP gives you the infrastructure, location, and support to grow confidently in the UAE and beyond.

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