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Sub-zone · RAKEZ · Ras Al Khaimah

Al Hamra Industrial Zone

Al Hamra Industrial Zone (RAKEZ)

Al Hamra / Al Jazeera Al Hamra Industrial area, Al Shohada Road corridor, Ras Al Khaimah · Est. 2005 · RAKEZ

AED 6,000/ yr
high confidenceVerified 18 Jul 2026official ↗
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Best for

Manufacturers, processors, assemblers and logistics/trading firms needing land, warehouses and workforce housing at the UAE's lowest industrial costs - especially goods businesses that benefit from VAT designated-zone treatment.

Not ideal for

Consultancies, agencies and digital businesses wanting a flexi-desk and a Dubai-facing address (look at RAKEZ business zones or Dubai zones instead); retail/customer-facing businesses needing footfall.

01Capability profile
?
Banking10/15
?
Visa scale3/15
?
Cost (lower=better)18/20
?
Activity breadth12/25
?
Workspace options9/15
?
Location6/10
02Where Al Hamra Industrial Zone sits
Year 1 cost← lower is better

Al Hamra Industrial Zone: 81th percentile (AED 6,000) · Licence + registration, AED.

Setup time← lower is better

Al Hamra Industrial Zone: 92th percentile (3 days) · Total estimated days from application to operational.

Visa caphigher is better →

Al Hamra Industrial Zone: 5th percentile (6 visas) · Absolute maximum visa allocation. Values above 500 clipped to the right edge so the bulk of the distribution stays readable.

Banking ease← better
Easy
4
Moderate
73
Difficult
15
Very difficult
1

Al Hamra Industrial Zone: Moderate · Corporate bank account opening difficulty. Each cell is one zone.

03Costs
6,000
Year 1 minimum · AED
AED 23,305 less than DMCC
budget tier
Show in
Base licence
AED 6,000
2-year visa cost
AED 3,200
Flexi-desk per year
AED 6,000
Hidden & one-off costs
Establishment card
AED 1,500
Minimum share capital
AED 10,000
Cancellation fee
AED 3,000
Visa renewal
AED 1,800
Visa cancellation
AED 600
Emirates ID (per visa)
AED 370
Dependent / spouse visa
AED 2,500
Year-on-year fee tracking begins 2026 — changes appear here as they accrue.
Indicative, from published ratesOfficial fee schedule ↗Verified 2026-07high confidence

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04Visas & workspace
Visa allocation
Maximum visas
6
Flexi-desk cap
0
Office cap
4
Family sponsorship
Available
Freelancer permit
Available
Golden visa
Available
Green visa
Available
Medical required
Yes
Processing time
~10 days
Workspace options
Virtual office
No
Flexi-desk
No
Coworking
No
Dedicated office
Yes
Executive office
No
Warehouse
Yes
Industrial unit
Yes
Land plot
Yes
Ejari issued
No
Parking
Yes
Dedicated office cost
AED 25,000/yr
05Banking & setup
Banking
Difficulty
Moderate
Time to account
~14 days
Minimum deposit
AED 0
Corp tax rate
0%
Audit cost (est)
AED 5,000
UBO filing
Required
AML / KYC
standard
Partner banks
Contact zone authority for banking guidanceRAKBankEmirates NBD
Neo-bank options
Wio BusinessMashreq NeoBiz
Setup timeline
  1. Registration mode
    Fully online — no in-person visit required
  2. Documents & application
    Passport, visa, business plan — ~3–5 days
  3. Licence issued
    ~3 business days after submission
  4. Bank account active
    Additional ~14 days · Moderate banking
  5. Operational
    Typically ~3 days, up to ~10 days
06Package pricing

All figures in AED, from official fee schedules. Visa and health-insurance costs are additional.

PackageVisasYear 1Renewal
Industrial Unit – StandardBest value3AED 24,000AED 19,500
Industrial Unit – Large6AED 38,000AED 30,000
Warehouse Unit4AED 28,000AED 22,000
07Permitted activities
4000+ activitiesMainland selling: YesDual license: Yes

trading

manufacturing

consultancy

freelancing

e-commerce

import/export

wholesale

retail

services*

Categories
4000+
Matched industry clusters
tradingindustriallogistics
Restricted
Banking, insurance and regulated financial services (require federal regulator approval)Education (Academic Zone only)Activities needing ministerial approval excluded from dual licence scheme
08Jurisdiction & ecosystem
Common lawNo
VAT designated zoneYes
QFZP eligible (0% tax)Yes
Inferred · 2026-07-18
Mainland permitYes
Inferred · 2026-07-18
Audit requiredNo
Inferred · 2026-07-18
Economic substancestandard
Inferred · 2026-07-18

This zone offers physical-office options sufficient for a standard QFZP substance posture, though the bar still applies at the entity level (CTGFZP1).

Focus: Manufacturing, Industrial, Trading, Logistics, Assembly

2000-3000 companieslarge communityNetworking events: Yes
Notable companies

Indu*

QFZP, audit, mainland-permit and substance values are sourced where the zone authority or FTA publishes them, and inferred from published zone characteristics otherwise. How we determine these values.

09Strengths & limitations
Strengths
  • ["Among the UAE's cheapest industrial real estate: land plots from 5
  • 000 m2 and warehouses 150-10
  • 000 m2
  • with RAKEZ claiming operating costs ~50% below regional average"
  • 'FTA VAT designated zone since 4 July 2019 - VAT-suspended goods movements with other designated zones and exports'
  • 'Rare dual structure: both free zone and non-free zone (mainland) entity formation in the same zone
  • plus RAKEZ Dual Licence for mainland trading'
  • 'Industrial-grade utilities: guaranteed 24/7 government power
  • gas and water; on-site labour accommodation (lease or build)'
  • 'Proximity to Saqr Port
  • RAK International Airport and E611/E311 highways; ~45-60 min from Dubai'
  • '0% corporate tax on qualifying income (QFZP); low-entry RAKEZ packages from AED 6
  • 000']
Caveats
  • No zone-specific published pricing - facility leases and industrial licences are quoted case-by-case, slowing cost comparison
  • RAK address carries less brand weight than Dubai and adds ~1 hour drive to central Dubai
  • Industrial district with minimal on-site retail/amenities; lifestyle and services sit in nearby Al Hamra Village/RAK city
  • Industrial projects need extra approvals (Civil Defence, environmental permit, Operational Fitness Certificate) that extend setup timelines

Not ideal for: Consultancies, agencies and digital businesses wanting a flexi-desk and a Dubai-facing address (look at RAKEZ business zones or Dubai zones instead); retail/customer-facing businesses needing footfall.

10Recent developments
  1. 2025-Q1Al Hamra Industrial Zone completed a road and infrastructure upgrade improving heavy vehicle access to port-adjacent industrial units.
  2. 2024-Q4RAKEZ introduced flexible lease terms of 12 months (down from 24 months) for Al Hamra Industrial Zone units to attract smaller manufacturers and startups.
11Tax considerations
Questions to raise with your tax advisor
  1. Does your planned revenue qualify under the QFZP qualifying-income rules?

    QFZP 0% only applies to qualifying income. Mainland trading or revenue from non-free-zone clients is generally non-qualifying and taxed at 9%.

  2. Will you need audited accounts even if this zone doesn't require them?

    FTA corporate-tax filing typically expects audited accounts for revenue above AED 50M, and banks often request them at much lower thresholds.

  3. Do your goods movements actually fall inside the VAT Designated Zone treatment?

    Designated Zone status applies to goods within the zone, not services. Most service businesses get no VAT benefit from being inside one.

  4. How much of your revenue will come from mainland UAE customers, and how does that affect QFZP and 5% VAT obligations?

    Mainland revenue beyond ad-hoc levels can disqualify QFZP and triggers full 9% corporate tax plus standard VAT on supplies.

  5. Do any of your customers, suppliers, or shareholders meet the FTA's related-party definition?

    Related-party transactions need transfer-pricing documentation and may push otherwise-qualifying income into the 9% bracket.

These prompts are due-diligence questions, not tax advice. Confirm every answer with a UAE-licensed tax advisor before incorporating.

12Frequently asked
13Similar zones in Ras Al Khaimah
14About this data

Al Hamra Industrial Zone data is sourced from official zone authority publications, government fee schedules, and where available, verified against direct communications with the zone. All figures in AED.

Location
Al Hamra / Al Jazeera Al Hamra Industrial area, Al Shohada Road corridor, Ras Al Khaimah
Established
2005
Authority
RAKEZ
Last verified
2026-07-18
Confidence
high
Methodology
How we score →
Cited source
Fee data sourced from the official fee schedule, fetched 2026-07-18. View source ↗
Per-field citations
How we verify every zone →
15Founder reviews
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