Textile trading licence, by the bale or metre

A textile trading licence covers buying and selling fabric and garments, and your buyers decide between mainland, free zone and retail.

Book a 15-minute call Or message us on WhatsApp

Folded bolts of printed cotton fabric stacked on a shelf in a textile store

At a glance

A textile trading licence in Dubai covers buying and selling fabric, yarn, household textiles and, with the right activity, ready-made garments. It is one of the lighter trading files, because the usual textile activities carry no sector approval. The work is in the activity list, customs registration and a bank file that shows where the goods come from and go.

Covers: Wholesale fabric, yarn and household textiles, imported and resold
Not covered: Tailoring, garment manufacturing, dyeing and printing cloth
Premises: An office or warehouse; a shop unit for retail
Timeline: Weeks, set mostly by the bank account

Fabric, garments and home textiles

Textile traders buy from mills and sell on, mostly to tailors, garment makers and shops. Each product line goes on the licence.

Covered

Woven and knitted fabric by the roll
Abaya, kandura and suiting cloth
Yarn, thread and haberdashery
Bed, bath and curtain textiles
Ready-made garments, with that activity added

Not covered

Cutting and stitching to measureCovered by Tailoring
Producing garments in batchesCovered by Garment manufacturing (industrial licence)
Selling clothing to shoppersCovered by Clothing retail
Dyeing, printing or finishing clothCovered by Textile manufacturing

Fabric and ready-made clothing are separate activities, so we add clothing now when abayas or uniforms are already on your price list.

Free zone bales or a Dubai shop

Bales bound for other countries sit well in a free zone. Selling to Dubai tailors and shops, or running a fabric store, points to DET.

Likely route by where most of your clients are
If most of your clients are	Likely route	Why
Re-export buyers across the region	Free zone	Stock waits outside UAE customs duty until it enters the local market
Tailors, garment makers and shops in Dubai	Mainland (DET)	Daily deliveries to Dubai businesses sit on a DET licence
Shoppers buying fabric by the metre	Mainland (DET)	A walk-in fabric shop needs a mainland retail unit
A mix of local and export buyers	Either route	A free zone company reaches Dubai buyers through a DET branch

A free zone textile trader selling regularly to mainland buyers needs a DET branch licence or permit (Executive Council Resolution 11 of 2025). Mainland income also faces the QFZP qualifying test.

Several free zones license this activity; we match the zone to your visas, office and banking. Compare free zones

What a textile trading licence needs

DET or a free zone issues the licence, and Dubai Customs registers the company before the first container. We confirm at application that your exact activities carry no extra approval.

Before the licence
- Trade name and initial approvalDET or the free zone
The licence
- Textile trading licenceDET or the free zone
After the licence
- Customs registration to importDubai Customs
- VAT registration when turnover requiresFederal Tax Authority (FTA)
- Work permits and visasMOHRE and GDRFA Dubai
- Corporate bank accountThe bank

We start the bank file the week the licence is filed.

Do you sell the cloth or change it?

Two questions place a textile business: who pays you, and whether the cloth leaves as it arrived.

Re-export stock sits well in a free zone, where duty waits until goods enter the UAE market, so we set the route by where your bales go.

What happens to the cloth? by Who buys from you?
	Tailors, makers and shops	Shoppers, by the metre or piece
Sold as it arrives	Textile wholesale A trading activity for fabric and garments, plus customs registration to import.	Fabric or clothing shop A retail activity for each line you sell, and a shop unit on the licence.
Cut, stitched or printed	Garment production Cutting and stitching in batches is manufacturing, under an industrial licence.	Tailoring shop Made-to-measure work for individual customers is a tailoring activity of its own.

Trade checks on textile accounts

Bank viewA closer look; supplier payments abroad and buyer countries

Banks read textile trading through their trade-based money laundering checks. Payments leave for mills in Asia, and money returns from many buyers, some in Dubai and some abroad. Expect questions on suppliers, buyer countries and how invoices match the shipping documents. We send the bank the supplier contracts, a buyer list and the first bills of lading with the application, so the trade reads clearly.

AMLNot a DNFBP activity; the bank's own customer checks still apply.

What trips up a textile trader

Ready-made clothing on a fabric licence
Fabric and clothing are separate activities. A trader who adds abayas or uniforms to the rolls needs the clothing activity on the licence too, so we add it before the first order ships.
Cutting cloth for customers
Once you cut and stitch, you are tailoring or making garments. Made-to-measure work for individuals is a tailoring activity, and batch production is manufacturing under an industrial licence.
Invoices that do not match the shipment
Banks compare invoices, packing lists and bills of lading line by line. Values or quantities that differ, or payments from a third party, slow the account opening and later transfers.

Questions about a textile trading licence

A question about your plan? Describe your textile trading plan and an advisor replies on WhatsApp.

Ask on WhatsApp

How much does a textile trading licence cost in Dubai?

A textile trading licence cost in Dubai depends on the route, the premises and how many activities you add. A wholesale office or warehouse costs less to set up than a walk-in shop, and clothing or retail lines add activities and visas. You get a written quote before anything starts, and it only changes if your plans do.

What are the textile trading licence requirements in Dubai?

A trading licence carrying the textile activities you sell, from DET or a free zone, with an office or warehouse, and customs registration to import. A walk-in fabric shop needs a retail activity and a shop unit, and ready-made clothing is its own activity. We list which apply before the trade name is booked.

How to start a textile trading business in Dubai?

Decide who buys first. Tailors, garment makers and shops in Dubai point to a DET licence, while bales for re-export sit well in a free zone. Then add each line you sell and register with Dubai Customs. The bank file usually takes longest, because banks check suppliers and buyer countries, so we start it early.

Do I need a Dubai Municipality permit for textile trading?

Usually no. Fabric and garment trading carries no sector approval in the activity lists we work with, and we confirm that with DET at application. Your work sits elsewhere: the right activities, customs registration, a suitable office, warehouse or shop, and a bank file that shows where the goods come from.

Can a free zone company trade textiles in Dubai?

Yes. A free zone textile trader imports, stores and re-exports from the zone, and goods pay customs duty when they enter the UAE market. Selling regularly to mainland tailors and shops calls for a DET branch licence or permit, or a mainland company. We compare both routes against your buyer list.

Where will your first bales go? Local tailors, export buyers or your own shop

Fifteen minutes with a senior advisor on your suppliers, your buyers and the lines you sell. You leave with the activities, the route and what the bank will ask to see.

Book a 15-minute call Message us on WhatsApp

On the call

The activity wording that fits your plan
The route, and the approvals in order
A written quote before any work starts

Replies within two business hours, Monday to Saturday.About the firm Prefer to write? Send the details