Ship Chandler Company in Dubai (2026): The Licence, DMA Approval, Port Certificate of Approval, Ship Stores Customs, VAT and Cost

A ship chandler company in Dubai can hold a perfectly valid trade licence and still be turned away at the port gate. The Dubai Ports Authority's own guideline says that "All Ship Chandler companies operating within DPA-PORTS SERVICE DEPARTMENT jurisdictional areas shall be prequalified and hold a valid Certificate of Approval-COA" [1], and every driver, van and forklift you send must be on that certificate. The demand is there: DP World reports that "Jebel Ali port recorded around 9% year-on-year growth in Origin & Destination (O&D) volumes" in 2025, with breakbulk at its highest level in nearly two decades [2].

The stakes are practical. Pick the wrong activity code and you cannot legally sell spares. Charge 0% VAT to a superyacht and the 5% comes out of your margin. Assume a free zone means 0% corporate tax and your first return will correct you.

Since 2013, BusinessDubai.ae has helped founders set up trading and service companies across the Dubai mainland and free zones. This guide covers the activity codes, the Dubai Maritime Authority (DMA) layer, the port Certificate of Approval and its driver, food and gas passes, how ship stores clear customs, VAT zero-rating by vessel type, corporate tax, credit risk, and a first-year cost table built on published prices only.

Last updated: November 2026. Every rule and fee below was checked against the government or free zone document cited, on 3 November 2026. Where an authority publishes no fee or processing time, this guide says so instead of filling the gap. It is general guidance, not legal or tax advice.

What does it take to open a ship chandler company in Dubai?

A Dubai ship chandler needs a trade licence carrying activity 5629004 Ship Chandlers (or a free zone chandler licence), a Dubai Maritime Authority approval in most cases, a Dubai Ports Authority Certificate of Approval before delivering inside the ports, and Trakhees and Dubai Health Authority passes for food deliveries. Supplies to merchant ships on international voyages are zero-rated for VAT.

Each of those layers is issued by a different body, and none of them replaces another. The table below sets out the full stack in the order you will meet it, with what each authority publishes about its own fee.

The licence is the cheap part. BusinessDubai.ae's 2026 packages start at AED 12,500 for a licence-only Meydan Free Zone or Dubai South company and AED 18,200 for a Dubai mainland company without a visa. The approvals behind it are what the rest of this guide unpacks.

What does a ship chandler supply, and which activity code covers it?

The Dubai Department of Economy and Tourism (DET) register lists 5629004 Ship Chandlers as a Commercial activity covering "foodstuff, fresh water, spare parts, medicines...etc." for ships. Technical spares trading has its own code, 4763007, marine delivery is the Professional activity 5320012, and fuel or bunkering is a separate petroleum activity outside this guide.

The register's full description of 5629004 reads: "Includes providing ships and other sea transport units with foodstuff, fresh water, spare parts, medicines...etc." [3]. That wording is broad, and it is the code most mainland chandlers start with. The public copy of the register also records against it that "A review by the Dubai Maritime Authority is required after the license is issued." [3].

Three neighbouring codes matter because a chandler's business often grows into them:

• 4763007 Ships, Boats Spare Parts & Components Trading (Commercial): "Includes reselling of spare parts and components for ship and boats reparation, maintenance, renovation and efficiency upgrading, including engines, ancillary engines, boilers, spindles, pipes, communication and measuring devices." [3]
• 5320012 Marine Delivery Services Coordination & Provision (Professional): delivery by marine transport to ships, yachts and marine facilities, where the register adds: "Dubai Maritime Authority review is required before issuing the license" [3].
• 5229017 Sea Shipping Lines Agents (Commercial): the agent's services include "organizing the supply", with a DMA review "required before issuing the license." [3]. An agent arranges supply for the owner; a chandler sells the goods.

The table below maps each supply line to the code that fits it and the extra approval it brings.

Meydan Free Zone uses its own coding. Its activity page lists ship chandlers under "5629.99", a free zone code rather than a DET code, and says that code covers food provisions and galley stores but "does not cover the technical and spare parts component of ship chandling" [5]. A free zone chandler that also sells spares therefore needs a second activity on the same licence.

Common Mistake: Assuming one code covers spares, food, fuel and launch delivery. DET's 5629004 is broad, but Meydan's 5629.99 is food-only by its own definition [5], fuel is a different activity, and delivery by boat is a separate Professional code with its own DMA review [3]. Adding an activity later means a licence amendment and, where it carries an approval, another wait. List every line you plan to sell in year one before you apply.

Should a ship chandler set up on the mainland or in a free zone?

A ship chandler can trade from either: the customers are ships, not the UAE mainland market, so the free zone restriction on mainland sales rarely bites. The deciding factors are where the warehouse sits, which drives food permits and customs, and price: Dubai mainland starts at AED 18,200 without a visa against AED 12,500 at Meydan Free Zone.

A mainland company can also sell to Dubai restaurants, hotels and shops, which matters if you plan a food wholesale line alongside ship supply. The free zone route is cheaper in year one. The table below compares the two on the points that change for a chandler, using BusinessDubai.ae's 2026 package prices.

Whichever route you take, the package is company formation only: it does not include DMA approval, the port certificate, customs registration, food approvals or a warehouse. Our free zone company setup and mainland company setup pages itemise what each package does include.

What about JAFZA, Dubai Maritime City and Hamriyah?

JAFZA sits beside Jebel Ali Port and is on the Federal Tax Authority's Designated Zone list, which matters for how goods move in and out of the zone for VAT. Dubai Maritime City is not on that list, as our guide to the best free zones for marine and shipping businesses explains. Our JAFZA free zone setup guide and Designated Zone VAT guide cover the licences and the goods rules. BusinessDubai.ae has no JAFZA, Dubai Maritime City or Hamriyah package, so we quote no price for them.

Hamriyah Free Zone is in Sharjah, and its Maritime City sub-zone names chandlery among its activities, per our Hamriyah Free Zone setup guide. Do not confuse it with Mina Al Hamriyah, which is a Dubai port on the DPA list [1][4]. If your customers are the ships calling at Sharjah's ports rather than Dubai's, our business setup in Sharjah page shows the emirate's other licensing routes.

How does Dubai compare with other UAE port bases for a chandler?

The port you serve decides the gate you pass. The table below sets Dubai against the other UAE bases a chandler weighs; corporate tax and VAT are federal, so they are the same everywhere.

If your vessels call mainly at Abu Dhabi ports, start from our business setup in Abu Dhabi page rather than a Dubai licence.

Who regulates a ship chandler in Dubai, and is DMA approval required?

The Dubai Maritime Authority (DMA) regulates "the Maritime Sector and Maritime Activities in the Emirate, including in Special Development Zones and free zones" under Dubai Law No. 3 of 2023. The register records a DMA review after a mainland 5629004 licence is issued, and Meydan Free Zone requires DMA pre-approval before licensing a chandler. No fee is published.

Dubai Law No. 3 of 2023, issued on 6 February 2023, set up the authority in its current form. Article 3(b) states: "The name Dubai Maritime City Authority, wherever mentioned in any legislation in force in the Emirate, is hereby replaced by Dubai Maritime Authority." [4]. Article 6 makes the DMA "the competent entity in charge of regulating and overseeing the Maritime Sector and Maritime Activities in the Emirate, including in Special Development Zones and free zones", and Article 6(6) gives it the power to "issue all types of approvals and permits required for the work of the companies and corporations operating in the Maritime Sector" [4].

The law says Maritime Activities "include, but are not limited to" a list running from maritime transport and maritime agencies to "maritime trade" [4]. Ship chandling is not named, but the list is open, and it defines Ports to "include Port Rashid, Al Hamriya Port, and Jebel Ali Port." [4]. The DMA's Administrative Resolution No. 1 of 2025, issued on 10 April 2025, governs commercial maritime work done by vessels, such as salvage, diving and dredging, and does not name ship supply [8].

Two documents settle the practical question for most founders:

• Mainland: the public copy of the DET register records against 5629004 that "A review by the Dubai Maritime Authority is required after the license is issued." [3].
• Meydan Free Zone: its activity page, updated 9 September 2026, states: "Ship Chandlers under code 5629.99 requires Dubai Maritime Authority (DMA) pre-approval before the Meydan Free Zone licence is issued." [5].

The order differs, after the licence on the mainland and before it at Meydan, but the authority is the same. No DMA chandler service, fee or processing time is published. The DMA's published client procedures set fees for other provider types: AED 10,000 to approve a ship-to-ship transfer provider, AED 75,000 for a bunkering provider, no charge for an offshore provider certificate (diving, hull cleaning, marine chemists), and AED 5,020 for a maritime activity permit, which its procedure ties to leisure DED activities such as jet ski and yacht rental [15]. None of them names ship chandling. Some guides quote a DMCA licence at a fixed fee; the DMCA name was replaced in 2023 [4] and no published fee was found, so treat any figure you are given as a quote, not a tariff.

Pro Tip: Get a written answer on DMA approval before you sign a warehouse lease. Ask your licensing authority, in writing, whether your activity needs DMA approval, whether it comes before or after the licence, and what documents the DMA will want. At Meydan, expect the pre-approval [5]. A lease signed on a licence that is then held up by an approval is rent paid for an empty unit.

How does a ship chandler get into Dubai's ports?

A ship chandler gets into Dubai's ports through prequalification with the PCFC Dubai Ports Authority (DPA) and a valid Certificate of Approval (COA). Guideline PCFC-DPA-PS-G06, Revision 00 of August 2024, requires every staff member, vehicle and piece of equipment to be listed on the COA attachment. The guideline publishes no fee or processing time.

The guideline is titled "Ship Chandler Requirements & Safe Operation Guidelines" and belongs to the Dubai Ports Authority's Ports Services department [1]. Its jurisdiction covers nine areas, listed in the document as:

1. Jebel Ali Port
2. Mina Rashid
3. Mina Al Hamriyah
4. Marfa & Marasi Wharfage
5. Al Hamriyah, Mina Rashid, Jumeirah 1, Umm Suqeim 1,2 Marinas
6. Dubai Maritime City
7. Al Jaddaf
8. Dubai Drydocks
9. Dubai Harbor (Cruise Terminal 1,2)

That list runs from the container berths to the cruise terminals and the public marinas [1], so a yacht provisioner delivering to a marina berth is inside it as much as a container-ship supplier at Jebel Ali.

What the Certificate of Approval requires

The prequalification page of the guideline sets six rules. Every chandler must be "prequalified and hold a valid Certificate of Approval-COA"; every driver and helper must "hold valid training card"; the COA, its attachment and the trade licence must stay valid; and work is prohibited "if the Certificate of Approval (COA) or trade license is expired." [1]. The sixth rule is the one that catches growing companies: "Third Party Agencies are prohibited from performing any type of operations, activities, or services by staff(s), equipment, or vehicles, that are not listed in the company Attachment to the Certificate of Approval (COA)" [1].

The table below lists every requirement the guideline places on a chandler, with what it publishes about cost.

On access, the wording is specific: "Ship Chandler truck drivers shall confirm that the vessel has gangways properly deployed with a safety net prior to accessing the vessel." [1]. These are operating rules rather than paperwork, but a driver who ignores them puts the company's COA at risk.

Real Talk: You will see a PCFC ship chandler licence quoted online at a fixed annual fee. The DPA guideline does not contain that fee, or any fee, and it does not call the COA a licence [1]. Budget for the COA as an unknown until the DPA quotes you, and ask for the fee, the renewal cycle and the documents list in one email. The guideline's contact for the Ports Services Department is DPA.Ports@pcfc.ae [1].

Pro Tip: Treat the COA attachment as a live staff list. Every new driver, helper, truck or forklift has to be added before it works in port, and a replacement driver who is not on the attachment cannot cover a sick colleague [1]. Build the update into your hiring checklist, alongside the training card and, for food delivery drivers, the Occupational Health Card.

Which food permits does a provisions chandler need?

A Dubai provisions chandler needs the Trakhees "Food Transport and Vehicle Pass" for every vehicle delivering food inside DPA port areas and a Dubai Health Authority Occupational Health Card for every driver, under DPA guideline G06. The warehouse that stores the food needs its own food-trade approvals, which depend on where it sits.

The guideline's vehicle pass page reads: "Ship Chandlers supplying food items to vessels shall obtain “Food Transport and Vehicle Pass” from Trakhees." and "Drivers shall obtain “Occupational Health Card” from Dubai Health Authority." [1]. Trakhees is the planning and development arm of the Ports, Customs and Free Zone Corporation (PCFC), the same corporation that houses Dubai Customs, the Dubai Ports Authority and the Dubai Maritime Authority [1].

Those passes cover the delivery. The storage is a separate question. A provisions chandler holds chilled and frozen stock, and the authority that approves the cold room depends on whether the warehouse is on the mainland or in a free zone. Our food trading company setup guide covers the food-trade approvals, product registration and warehouse rules, so they are not repeated here.

Meydan Free Zone adds a standard of its own for its chandler code: "All food provision supplies must comply with HACCP standards." [5]. Even where HACCP is not a licence condition, ship managers and cruise operators often ask for food safety certification at tender stage, so plan the cold chain to meet it from the first delivery.

Common Mistake: Getting the Trakhees pass for the refrigerated truck and forgetting the van. The pass attaches to vehicles delivering food items [1], so the small van used for urgent top-up orders needs it too. The same applies to the driver's DHA card. A delivery turned back at the gate costs the order, and a ship that sails short of fresh provisions rarely orders from you again.

How do ship stores clear Dubai Customs?

Ship stores leave Dubai's free zones and customs warehouses on an export-type declaration. The Dubai Customs Service Guide (version 9, 2025) lists "Free Zone Export Declarations (Transit Out) to Ship Stores" and "All Customs Warehouse Export Declarations to Ship Stores" as declaration categories. No published procedure text sets out the rest, so confirm it with Dubai Customs.

Both categories appear in the guide's schedule of claim deadlines, next to "All Transit Declarations to Ship Stores" [6]. That tells you how Dubai Customs classifies the movement: goods to ship stores go out on an export-type declaration, not as a local sale. The guide does not explain the documents, the duty basis or the controls at the berth, and no separate fee line for ship stores was found [6].

Before any declaration, the company needs a Dubai Customs client code. The Dubai Customs Customer Guide lists a "Registration Charge for New Importer" of AED 100 and a "Renewal Charge for Importer" of AED 25, with "Shipping Agent Registration" at AED 500 [7]. A chandler registers as an importer or as a free zone company, not as a shipping agent, unless it also runs agency work. Our Dubai Customs registration guide walks through the code application and the current charges.

Bonded stores: alcohol and tobacco

Bonded stores, meaning duty-suspended goods such as alcohol and tobacco sold for consumption on board, are where a chandler's margin and its compliance risk both concentrate. No official source setting out Dubai's rules for a chandler's bonded alcohol or tobacco store was found for this guide. These goods need specific approvals, to be confirmed with Dubai Customs before you buy any stock. Our bonded warehouse guide explains how customs warehouses work in Dubai.

Real Talk: Some online guides name a specific export declaration code for ship stores, a minimum insurance figure and a monthly police reporting rule for alcohol. None of those appear in the Dubai Customs documents reviewed for this guide [6][7]. Ask your clearing agent to show you the declaration type they will file, and ask Dubai Customs directly what your bonded store needs, before you plan the business around a rule from a blog.

Is VAT charged on supplies to ships in the UAE?

Goods supplied to a ship on international transport are zero-rated for UAE VAT. Executive Regulation Article 33(2)(a), as amended by Cabinet Decision No. 100 of 2024, covers "The Goods which are supplied for use or consumption or sale by or on an aircraft or a ship." Supplies to yachts, fishing boats, dredgers and local craft are normally 5%.

Federal Decree-Law No. 8 of 2017, Article 45(7), zero-rates goods and services "designated for consumption on board; or anything consumed by any means of transport" in connection with international transport [9]. The Executive Regulation, as amended with effect from 15 November 2024, applies the zero rate to goods "supplied in respect of the transportation Services of passengers or Goods" on an international leg [10].

Spares and consumables have their own rule. Article 35(1) zero-rates "Goods, except fuel or other oil or gas products, that are supplied or imported in the course of operating, repairing, maintaining or converting such means of transport", where the goods are fitted to the ship or are consumables used up in the process [10]. That relief applies only to a qualifying means of transport, which Article 34(2) defines as "A ship, boat or floating structure that is designed or adapted for use for commercial transportation of passengers and Goods and which is not designed nor adapted for recreation, pleasure or sports." [10].

The Federal Tax Authority's public clarification VATP040 of March 2025 draws the line further: "where a ship is used for commercial purposes, but its main purpose is not to transport goods or passengers, the ship would not constitute a means of transport, e.g. a ship used for commercial fishing, a drilling ship or dredger." [11].

The table below applies those rules to a Dubai chandler's customers. Read each "5%" as the default unless another zero-rating rule applies.

Quick Math: An AED 40,000 provisions order delivered to a container ship on an international voyage is zero-rated, so the invoice total is AED 40,000 [10]. The same AED 40,000 order delivered to a superyacht at a Dubai Harbour marina carries 5% VAT, or AED 2,000, for an invoice of AED 42,000. If you invoice the yacht at 0% by mistake, the FTA can still assess the AED 2,000, and it comes out of your margin rather than the owner's pocket.

Delivery charges and the evidence you keep

Delivery is the open question. VATP040 explains that the zero rate for services during international transport is "limited to services supplied to the recipient of the transportation service." [11]. A separately billed delivery or launch charge may not fit that wording, and no FTA guidance settles it, so get a tax adviser's view before you zero-rate it.

No FTA list of evidence for zero-rated ship supplies was found either. As good practice, keep for every zero-rated sale the ship's name and IMO number, the voyage details showing an international leg, the purchase order, and the delivery note signed on board with the ship's stamp.

Common Mistake: Treating "a ship" as "a zero-rated customer". Article 34(2) excludes vessels designed for recreation, pleasure or sports, and VATP040 excludes fishing boats, drilling ships and dredgers [10][11]. A chandler whose order book mixes merchant ships and yachts needs its invoicing to ask what the vessel is before choosing the VAT rate, not after the return is filed.

Zero-rated sales still count for registration

A chandler selling almost entirely at 0% still has to register for VAT: zero-rated supplies count toward the AED 375,000 mandatory threshold, and registration lets you recover the 5% paid on your own purchases, rent and vehicles. Our VAT registration and compliance guide covers the threshold, the application and the filing calendar.

Does a free zone ship chandler pay 0% corporate tax?

A free zone ship chandler usually pays ordinary corporate tax rates: 0% on taxable income up to AED 375,000 and 9% above. Ministerial Decision No. 229 of 2025 does not name chandling as a Qualifying Activity, and its distribution item needs a customer who resells or processes the goods, which a ship owner consuming stores is not.

The Qualifying Activities in Ministerial Decision No. 229 of 2025 include "Ownership, management and operation of Ships" and "Distribution of goods or materials in or from a Designated Zone" [12]. Neither fits a chandler. The ships item covers owning, managing and operating ships, not selling to them. The distribution item qualifies only where the goods "are supplied to any of the following: 1) A customer who resells, processes or alters such goods or materials, or parts thereof for the purposes of sale or resale. 2) A public benefit entity." [12]. A ship that eats the provisions and burns the stores does neither.

The logistics item does not help either, because it covers storage and transport "on behalf of another Person without taking title" [12], and a chandler owns the goods it sells. The last route is the ancillary test: an activity is ancillary "where it is necessary for the performance of the main activity or where it makes a minor contribution to it and is so closely related to the main activity that it should not be regarded as a separate activity." [12]. It is unlikely to apply to an independent chandler, whose supply business is the main activity rather than an add-on to a qualifying one. Confirm your position with a tax adviser.

In our reading, then, a JAFZA, Meydan or IFZA chandler is an ordinary taxable person. That is not a penalty. It pays 0% on the first AED 375,000 of taxable income and 9% on the rest, exactly like a mainland company [13]. Our Qualifying Free Zone Person guide explains the full test.

Quick Math: A chandler with AED 900,000 of taxable profit at ordinary rates pays 9% of AED 525,000 (AED 900,000 minus the AED 375,000 band), which is AED 47,250 [13]. A company that claims QFZP status and then fails a condition is taxed at those same ordinary rates from the start of the period, and loses QFZP status for the following four periods [13]. Claiming 0% on chandlery income is a risk with no upside.

Small Business Relief

A young chandler with modest turnover may pay nothing at all. Small Business Relief lets a resident company with revenue at or below AED 3,000,000 elect to be treated as having no taxable income, for tax periods ending on or before 31 December 2029 under Ministerial Decision No. 131 of 2026 [14]. A company claiming QFZP status cannot elect for it. Our Small Business Relief guide covers the revenue test and the election. If you want your VAT and corporate tax position set out before the first invoice, model your position→

How do ship chandlers manage cash flow and credit?

A Dubai ship chandler pays its suppliers within weeks but is paid by ship owners and managers on agreed credit terms that often run longer in practice. The chandler funds the stock, the trucks and the gap. Deposits for first-time customers, credit checks on ship managers and clear agency terms are the main protections.

The order chain is what makes the credit risk unusual. An order comes from the ship's master or the manager's purchasing team, often through a ship agent, and sometimes through a procurement platform such as ShipServ. The goods go on board a ship that sails within hours, the invoice goes to a manager who may be in another country, and the ship may not call at Dubai again for months.

The protections are simple and worth writing into your terms from the first order:

• Know who owes you. Confirm in writing whether the buyer is the owner, the manager or the agent. If the buyer signs "as agent only", ask who the principal is and get the owner or manager named on the order, because your claim may lie against them rather than the agent.
• Take a deposit from first-time customers, especially on large provisions or bonded orders.
• Set a credit limit per manager, not per ship. One manager may run dozens of vessels.
• Get the signed delivery note on board. It is your evidence for payment and for the zero rate.

Real Talk: Late payment by ship owners and managers is a long-standing complaint in the ship supply trade. A new chandler that wins a large fleet account on generous terms can be cash-poor within a quarter while its order book looks excellent, because it pays suppliers before the ship manager pays it. Grow credit limits with payment history, and talk to your bank about trade finance before you need it. Our corporate bank account guide covers opening the account.

Do you need ISSA or IMPA membership?

The International Ship Suppliers & Services Association (ISSA) and the International Marine Purchasing Association (IMPA) are voluntary trade bodies, not regulators. No licence or port certificate in Dubai requires membership. Many buyers order using IMPA's product codes, so a chandler's catalogue and quotation system should map to them, and membership can help with credibility on fleet tenders.

How much does it cost to start a ship chandler company in Dubai in the first year?

A Dubai ship chandler's company formation costs AED 12,500 licence-only at Meydan Free Zone or Dubai South, AED 21,850 with one visa, or AED 26,900 with one visa on the mainland, at BusinessDubai.ae's 2026 package prices. DMA approval and the DPA Certificate of Approval have no published fee, and the warehouse, vehicles and staff are quoted separately.

The table below itemises the first year. It separates what is priced from what has to be quoted, because the unknown lines are the ones that decide whether your launch budget holds.

The pattern is clear: the lines BusinessDubai.ae can price are the smallest. The warehouse, the fleet and the people are where the money goes, and the approval fees stay unknown until the DMA and the DPA quote you. Be wary of guides that publish average order sizes, margins or vessel counts with no source; no official vessel-call count or margin data was found for this guide, so build the plan from quotes you have gathered yourself.

Pro Tip: Ask the DMA and the DPA for their fees and document lists before you commit to a warehouse or order a refrigerated truck. Written answers turn the two "not published" rows in your budget into numbers. Do it in the same week you apply for the licence, so the approvals and the formation run side by side.

For an itemised quote across Meydan, Dubai South, IFZA and the mainland, with the approvals you will need listed against each, get a free setup quote→

What are the steps to open a ship chandler company in Dubai, in order?

Opening a Dubai ship chandler company runs in nine steps: choose the supply lines and codes, confirm the DMA position in writing, form the company, complete the DMA step, register with Dubai Customs, secure a food-approved warehouse, obtain the Dubai Ports Authority Certificate of Approval, get the driver and vehicle passes, then register for VAT.

No authority publishes a processing time for the DMA approval or the Certificate of Approval, so this guide gives no total duration. The order matters more than the speed, because each step needs the one before it.

1. Decide what you will sell in year one. Provisions, deck and engine stores, technical spares, bonded stores, launch delivery. Map each to a code: 5629004, 4763007 or 5320012 on the mainland, or the zone's own codes [3][5].
2. Confirm the DMA position in writing. Ask the licensing authority whether DMA approval comes before or after the licence, and what the DMA will want [3][5].
3. Form the company on the mainland through DET, or at Meydan, Dubai South or IFZA.
4. Complete the DMA approval or review on the timing your authority confirmed [3][5].
5. Register with Dubai Customs for a client code so stock can be imported and declared to ship stores [6][7].
6. Secure the warehouse and its food approvals, if you hold provisions.
7. Prequalify with the Dubai Ports Authority and obtain the Certificate of Approval, listing every driver, helper, vehicle and item of equipment on the attachment [1].
8. Get the passes: training cards for drivers and helpers, the Trakhees Food Transport and Vehicle Pass, DHA Occupational Health Cards, and a gas cylinder permit if you carry gas [1].
9. Register for VAT once taxable supplies, including zero-rated ones, pass AED 375,000, and register for corporate tax.

Once you are trading, the renewals start to stack: the trade licence, the COA, the attachment updates, training cards, health cards, visas and the VAT returns all have their own dates. Our post-setup services team runs that calendar for you, so a lapsed card does not stop a truck at the gate.

Which ship supply setup fits your business?

The right Dubai setup depends on what you supply and where you deliver. A provisions chandler at Jebel Ali needs the full food and port stack; a technical spares supplier needs code 4763007; launch delivery needs the DMA vessel question answered; marina yacht provisioning means charging 5% VAT; and chandlers serving Sharjah or RAK need their own port permits.

The table below matches six business models to a setup, the key approval and the trap to avoid.

For the last row, our Hamriyah Free Zone guide and RAK Maritime City guide cover those ports, including RAK Ports' published chandler permit.

Real Client Stories

These are composite examples built from the situations ship chandlery founders most often face in Dubai. Names and details are illustrative, and the only figures used are published government fees and BusinessDubai.ae's package prices.

The provisions chandler whose new driver was not on the certificate

Karim set up a mainland company with activity 5629004 and one visa for AED 26,900 to deliver fresh produce at Jebel Ali. He started with one refrigerated truck on the Certificate of Approval attachment, with a Trakhees food pass and DHA cards for his drivers. When orders grew, he bought a second truck, hired a driver and sent both to the port the same week. Neither was on the COA attachment yet, so the delivery could not go ahead, and the ship sailed with another supplier. The lesson: update the COA attachment before a new person or vehicle works in port.

The spares trader who licensed the wrong half of the business

Elena wanted to supply engine spares and deck stores to bulk carriers from a free zone warehouse, and chose a Meydan Free Zone package with one visa at AED 21,850. Her application named only the zone's chandler activity, which Meydan defines as food provisions and galley stores, excluding technical spares. Her first fleet enquiry was for pumps and filters. She had to add a spares trading activity and wait for the amended licence before quoting. The lesson: read the activity's scope on the zone's own page, and list every supply line before applying.

The yacht provisioner who invoiced everything at zero

Rahul started a yacht provisioning service at the Dubai Harbour and Jumeirah marinas on a Dubai mainland licence without a visa, at AED 18,200. He had read that supplies to ships are zero-rated and invoiced his first season at 0%. His tax adviser pointed out that the regulation excludes vessels designed for recreation or pleasure, so his superyacht sales carried 5%. On an AED 40,000 order that is AED 2,000 he had not charged and now had to account for himself. The lesson: the vessel type sets the VAT rate, so ask it first.

Start your ship chandler company in Dubai the right way

For a ship chandler, the licence is the smallest decision. What decides whether the business can trade is whether the DMA position is confirmed in writing, whether every driver and truck is on the Dubai Ports Authority's Certificate of Approval, and whether your invoices charge VAT by vessel type rather than by habit. All three are cheap to get right before the first delivery and expensive to fix after the first refused gate or FTA assessment.

BusinessDubai.ae has helped founders since 2013 with itemised pricing and no hidden fees. We will price a free zone company setup at Meydan, Dubai South or IFZA against a mainland company setup with activity 5629004, list the approvals each route needs, and keep the renewals, visa and card dates on track afterwards through our post-setup services. The packages are company formation only; the DMA, port, customs, food and warehouse approvals are yours to obtain, and we will tell you exactly which ones apply.

Talk to a setup expert→

If you are weighing a shipping, ship management or marine repair business rather than ship supply, start with our guide to the best free zones for marine and shipping businesses.

Frequently Asked Questions

Licensing and approvals

Which activity code do I need for a ship chandler company in Dubai?

A Dubai mainland ship chandler uses DET activity 5629004 Ship Chandlers, a Commercial activity covering foodstuff, fresh water, spare parts and medicines for ships. Add 4763007 if technical spares trading is a main line, and 5320012 if you deliver by boat. Free zones use their own codes, such as Meydan's 5629.99.

Do I need Dubai Maritime Authority approval to be a ship chandler?

Yes, in most cases. The public copy of the DET register records a DMA review after a 5629004 licence is issued, and Meydan Free Zone requires DMA pre-approval before it licenses a chandler. No DMA chandler fee or processing time is published; the DMA procedures that do carry fees cover bunkering, ship-to-ship, offshore and leisure activities. Ask your licensing authority in writing.

Is the DMCA ship chandler licence still required?

No body called the DMCA issues licences any more. Dubai Law No. 3 of 2023 replaced the name Dubai Maritime City Authority with Dubai Maritime Authority in all Dubai legislation. Any approval you need now comes from the Dubai Maritime Authority, and no published fee for a chandler approval was found.

Is there a PCFC ship chandler licence?

Not under that name in the Dubai Ports Authority's guideline. Guideline PCFC-DPA-PS-G06 of August 2024 requires chandlers to be prequalified and hold a Certificate of Approval, which is a port access approval rather than a trade licence. The guideline publishes no fee for it.

Can a Meydan Free Zone ship chandler sell spare parts?

Not on the chandler code alone. Meydan's own page says its ship chandler code 5629.99 does not cover the technical and spare parts component of ship chandling. A Meydan chandler that sells spares needs a second, trading activity on the licence.

Port access

What is a Certificate of Approval from the Dubai Ports Authority?

A Certificate of Approval, or COA, is the Dubai Ports Authority's prequalification for ship chandlers working in its port areas. Its attachment lists the company's approved staff, vehicles and equipment, and anything not on the attachment may not operate in port. Work must stop if the COA or the trade licence expires.

Which Dubai ports does the DPA Certificate of Approval cover?

The DPA guideline lists Jebel Ali Port, Mina Rashid, Mina Al Hamriyah, Marfa and Marasi wharfage, the Al Hamriyah, Mina Rashid, Jumeirah 1 and Umm Suqeim marinas, Dubai Maritime City, Al Jaddaf, Dubai Drydocks and the Dubai Harbour cruise terminals. Ports in other emirates are outside it.

How much does the DPA Certificate of Approval cost?

No fee is published. Guideline PCFC-DPA-PS-G06 of August 2024 sets the requirements but states no fee or processing time. Ask the DPA Ports Services Department for the fee, the renewal cycle and the documents list before you budget.

Do ship chandler drivers need special cards in Dubai?

Yes. Every driver and helper working in Dubai Ports Authority areas needs a valid training card, and drivers need an Occupational Health Card from the Dubai Health Authority. Each driver must also be listed on the company's Certificate of Approval attachment.

Do I need a Trakhees pass to deliver food to ships?

Yes. DPA guideline G06 states that ship chandlers supplying food items to vessels must obtain the Food Transport and Vehicle Pass from Trakhees. It applies to the vehicles carrying food into the port areas, so every van and truck on food runs needs one.

Do I need a permit to carry gas cylinders to ships in Dubai?

Yes. The DPA guideline requires trucks transporting compressed gas cylinders to hold a valid permit from the PCFC DPA Ports Service Department. It also sets handling rules, such as keeping the valve cap on and never rolling or dragging a cylinder.

Do I need DPA approval to supply yachts at Dubai's public marinas?

Yes, in the listed areas. The DPA guideline's jurisdiction includes the Mina Rashid, Jumeirah 1 and Umm Suqeim marinas and the Dubai Harbour cruise terminals, so a yacht provisioner delivering there falls under the same Certificate of Approval rules as a container-ship supplier. Confirm with the DPA for any marina not on its list.

Does delivering stores by boat to anchorage need a DMA permit?

It may. DET's 5320012 Marine Delivery activity carries a DMA review before the licence is issued, and DMA Administrative Resolution No. 1 of 2025 requires permits for vessels doing commercial maritime work, though it does not name supply runs. Ask the DMA in writing before buying a launch.

Customs and food

How do ship stores clear customs in Dubai?

Ship stores leave a Dubai free zone or customs warehouse on an export-type declaration. The Dubai Customs Service Guide of 2025 lists Free Zone Export Declarations (Transit Out) to Ship Stores and Customs Warehouse Export Declarations to Ship Stores. The detailed procedure is not published, so confirm it with Dubai Customs and your clearing agent.

How much is Dubai Customs registration for a chandler?

The Dubai Customs Customer Guide lists AED 100 for a new importer registration and AED 25 for renewal. Shipping agent registration is AED 500, which a chandler only needs if it also runs agency work.

Can a ship chandler sell duty-free alcohol and tobacco to ships?

Only with specific approvals for bonded goods, which must be confirmed with Dubai Customs before you buy stock. No official public source setting out Dubai's bonded store rules for chandlers was found for this guide, so do not rely on rules quoted in online guides.

Tax

Is VAT charged on provisions sold to a container ship in Dubai?

No, if the ship is on an international voyage. Executive Regulation Article 33(2)(a), as amended by Cabinet Decision No. 100 of 2024, zero-rates goods supplied for use, consumption or sale on a ship in respect of international transport. Keep evidence of the ship, the voyage and delivery on board.

Is fuel or lubricating oil sold to a ship zero-rated?

Not under the spares and consumables relief. Article 35(1) of the VAT Executive Regulation zero-rates goods used in operating or maintaining a qualifying ship except fuel or other oil or gas products. Take tax advice on fuel and lubricants before choosing a rate.

Are supplies to superyachts zero-rated for VAT?

No, normally not. Article 34(2) of the VAT Executive Regulation limits the ship reliefs to vessels designed for commercial transport and not for recreation, pleasure or sports. Provisions and stores sold to a yacht in Dubai are normally standard-rated at 5% unless another rule applies.

Are supplies to fishing boats and dredgers zero-rated?

Normally not. The FTA's public clarification VATP040 of March 2025 says a ship used for commercial fishing, a drilling ship or a dredger is not a means of transport for the zero-rating rules. Supplies to them are standard-rated at 5% unless another rule applies.

Is a chandler's delivery charge zero-rated?

That is not settled. VATP040 limits the zero rate for services during international transport to services supplied to the recipient of the transport service, and no FTA guidance on a chandler's separately billed delivery or launch charge was found. Confirm your position with a tax adviser.

Does a ship chandler need to register for VAT if all its sales are zero-rated?

Yes, once taxable supplies pass AED 375,000 in 12 months. Zero-rated supplies count toward the mandatory registration threshold, and registration lets the chandler recover VAT paid on its purchases, rent and vehicles.

Does a JAFZA ship chandler pay 0% corporate tax?

Usually not. Ministerial Decision No. 229 of 2025 does not name chandling, and its distribution item needs a customer who resells, processes or alters the goods, which a ship consuming stores does not. A JAFZA chandler usually pays 0% to AED 375,000 and 9% above.

Can a new ship chandler use Small Business Relief?

Yes, if revenue is at or below AED 3,000,000. Small Business Relief applies to tax periods ending on or before 31 December 2029 under Ministerial Decision No. 131 of 2026, and lets an eligible company be treated as having no taxable income. A company claiming QFZP status cannot elect for it.

Cost and operations

How much does it cost to set up a ship chandler company in Dubai?

Company formation starts at AED 12,500 licence-only at Meydan Free Zone or Dubai South, AED 21,850 there with one visa, and AED 26,900 with one visa on the Dubai mainland, at BusinessDubai.ae's 2026 prices. DMA and port approvals have no published fee, and the warehouse, vehicles and staff are quoted separately.

Can a Dubai ship chandler supply ships at Fujairah or Khor Fakkan?

Not on a Dubai port certificate. The DPA Certificate of Approval covers Dubai's listed port areas only. Supplying at anchorages or ports in other emirates needs that port's own permits, and may also need a licence in that emirate.

References

[1] PCFC Dubai Ports Authority. PCFC-DPA-PS-G06, Ship Chandler Requirements and Safe Operation Guidelines, Revision 00, August 2024: jurisdiction, prequalification and Certificate of Approval, training cards, Trakhees food pass, DHA health card, gas cylinder permit, safe access, PPE and contacts. pcfc.ae (PDF)

[2] DP World. Press release, 12 March 2026: 2025 results, Jebel Ali O&D volume growth of around 9% and breakbulk of 5.67 million tonnes. dpworld.com

[3] Dubai Department of Economy and Tourism. Business activity list as recorded in a public copy of the register: 5629004 Ship Chandlers, 4763007 Ships, Boats Spare Parts & Components Trading, 5320012 Marine Delivery Services Coordination & Provision and 5229017 Sea Shipping Lines Agents, with licence type, description and the Dubai Maritime Authority review noted for each, checked 3 November 2026. visaindubai.ae register copy

[4] Government of Dubai. Law No. (3) of 2023 Concerning the Dubai Maritime Authority, issued 6 February 2023: Articles 3(b), 6 and 6(6), and the definitions of Maritime Activities and Ports. dlp.dubai.gov.ae

[5] Meydan Free Zone. Setup Ship Chandlers Business in Dubai, activity page updated 9 September 2026: code 5629.99 scope, DMA pre-approval, HACCP and DNFBP status. meydanfz.ae

[6] Dubai Customs. Dubai Customs Service Guide, version 9 (2025): declaration categories including exports to ship stores from free zones and customs warehouses. dubaicustoms.gov.ae (PDF)

[7] Dubai Customs. Customer Guide: registration and renewal charges for importers and shipping agents. dubaicustoms.gov.ae (PDF)

[8] Dubai Maritime Authority. Administrative Resolution No. (1) of 2025 for Commercial Maritime Activities, issued 10 April 2025: permits for commercial maritime work by vessels. dlp.dubai.gov.ae

[9] Federal Tax Authority. Federal Decree-Law No. 8 of 2017 on Value Added Tax: Article 45(7) on goods and services consumed on board means of transport. tax.gov.ae (PDF)

[10] Federal Tax Authority. Executive Regulation of Federal Decree-Law No. 8 of 2017 on VAT (Cabinet Decision No. 52 of 2017), as amended by Cabinet Decision No. 100 of 2024 effective 15 November 2024: Articles 33(2)(a), 34(2) and 35(1). tax.gov.ae (PDF)

[11] Federal Tax Authority. Public Clarification VATP040, Amendments to the VAT Executive Regulation, March 2025: means of transport, fishing, drilling and dredging ships, and services to the recipient of the transport service. tax.gov.ae (PDF)

[12] UAE Ministry of Finance. Ministerial Decision No. 229 of 2025 Regarding Qualifying Activities and Excluded Activities, 28 August 2025: Article 2(1)(e), (l), (m) and (n) and the ancillary test. mof.gov.ae (PDF)

[13] UAE Ministry of Finance. Federal Decree-Law No. 47 of 2022 on the Taxation of Corporations and Businesses: ordinary rates with the AED 375,000 threshold, and Article 18 on a Qualifying Free Zone Person that fails a condition. mof.gov.ae (PDF)

[14] UAE Ministry of Finance. Ministerial Decision No. 131 of 2026 amending Ministerial Decision No. 73 of 2023 on Small Business Relief, issued 29 July 2026: revenue at or below AED 3,000,000, tax periods ending on or before 31 December 2029. MoF financial legislation

[15] Dubai Maritime Authority (PCFC). Client procedures PCFC-DMA-MO-OS-CP-01 (STS provider approval, Rev 00, October 2022), CP-02 (bunkering provider approval, Rev 00, October 2022), CP-08 (offshore provider approval, Rev 00, December 2023) and PCFC-DMA-MR-RAL-CP-18 (renew maritime activity permit, Rev 01, September 2024): scopes and service fees. CP-02 bunkering provider (PDF), CP-01 STS provider (PDF), CP-08 offshore provider (PDF), CP-18 maritime activity permit (PDF)

[16] BusinessDubai.ae. 2026 company formation package prices for the Dubai mainland, Meydan Free Zone, Dubai South and IFZA (partner price), including visa tiers and the mainland renewal, as of November 2026. businessdubai.ae