Dubai government has launched Ecommerce strategy in Sep 2019, with aim to transform Dubai into a world class Ecommerce hub will which benefits Dubai’s economy.
It is based on three key pillars:
1. Make Dubai as logistics hub to serve the region
2. Promote Dubai as service and talent hub and attract leading global Ecommerce players
3. And lead by example for Safe Ecommerce market Project aims to fulfill these strategic objectives and ambitions to make Dubai as Ecommerce hub.
This initiative will have changes in existing Dubai Customs processes wherein the Ecommerce companies can submit bulk E-Commerce Declarations and avail E-Commerce (B2C) benefits. Various other impact on other Declaration processing stages have been assessed and implemented as part of this release. There are many logistics companies operating in free zones having contract with overseas and local Ecommerce companies to store goods in their premises (warehouse). Customs shall now be able to identify the actual associated companies i.e. actual owner of the goods where 3PL is acting as Free zone Importer / Free zone Exporter using “Cargo Ownership” and “Associated Owner” attributes. Further to identify a transaction as E-Commerce or non E-Commerce, there is introduction of a new field in declaration called “Trade Type”. Trade Type should have two values (E-Commerce or non E-Commerce) in applicable declarations. Below additional information via Dubai Trade user interface or B2G channel is required: • Trade Type = E-Commerce or Non-E-Commerce• Cargo Ownership = Self Ownership or Other Company Ownership (if declarant is 3PL Company)• Owner Associated Company = Business Code of the Associated Company (in case Cargo Ownership = Other Company Ownership) With help of this initiative, we will be able to identify declaration as E-Commerce or Non E-Commerce in order to encourage and retain E-Commerce players in the region. Recognize E-Commerce companies to ease regulations and provide benefits. Applicable declaration service charges/duty/deposit will be made cheaper.
