DAFZA vs Dubai South
Dubai Airport Free Zone (DAFZA) (Dubai) or Dubai South Free Zone (Dubai)? Here is how the two compare on cost, visas, speed and fit, and which one we would pick for different founders.
Choose DAFZA for…
- Room for more visas (up to 10 vs 6)
- A smoother banking track record
- Popular with air-freight traders
- Popular with tech and electronics companies
Dubai Airport Freezone (DAFZ, often still called DAFZA) sits right beside Dubai International Airport and is part of the Dubai Integrated Economic Zones Authority. It suits air-freight traders, electronics, pharma and luxury goods distributors and regional head offices. A small flexi-desk company with one visa usually costs somewhere between AED 25,000 and 45,000 in year one, and setup typically takes two to four weeks.
Choose Dubai South for…
- A lower starting price (about AED 5,150 less in year one)
- Cheaper yearly renewal
- Faster setup (around 7 vs 10 working days)
- Popular with aviation and logistics companies
- Popular with traders near al maktoum airport
Dubai South Free Zone is the business area wrapped around Al Maktoum International Airport, regulated by Dubai Aviation City Corporation. Small founders now use its digital Dubai South Business Hub, which can issue a licence within a day for a complete file, while large logistics and aviation firms lease land and warehouses. Year-one budgets for one visa typically start near AED 18,000 to 25,000.
DAFZA vs Dubai South side by side
| DAFZA | Dubai South | |
|---|---|---|
| Emirate | Dubai | Dubai |
| Packages from | AED 17,510 | AED 12,360 |
| Renewal from | AED 16,480 | AED 11,845 |
| Visa quota | Up to 10 | Up to 6 |
| Typical setup | ~10 working days | ~7 working days |
| Activities per licence | Up to 5 | Up to 5 |
| Office options | Flexi-desk, Private office, Warehouse | Flexi-desk, Private office, Warehouse |
| Activity areas | Trading, Logistics, Tech & IT, Consultancy, E-commerce, Healthcare | Logistics, Trading, Consultancy, Industrial, E-commerce |
| Crypto / Web3 | No | No |
| Banking ease | ||
| Established | 1996 | 2006 |
Prices are “from” estimates and subject to free zone fees. Confirm the final quote with our advisor before you pay.
DAFZA in brief
Most free zones sell you a location. Dubai Airport Freezone sells you a runway. The zone was founded in 1996 on land bordering Dubai International Airport, so cargo flown into DXB can reach a DAFZ warehouse in a short drive without leaving customs control. For goods that are light, valuable or urgent, that speed is the whole business case.
Strengths
- Direct access to Dubai International Airport cargo
- On the Green Line metro with its own station
- VAT Designated Zone for goods held for re-export
- Strong reputation with multinationals and banks
Watch out for
- More expensive than package-based Dubai zones
- High occupancy means limited availability of offices
- Flexi-desk visa allocation is small
Dubai South in brief
Think of Dubai South as two free zones sharing one name. On one side is a giant master plan of around 145 square kilometres built for cargo, aviation and freight forwarding next to Al Maktoum International Airport. On the other is a lean digital licensing platform that lets a solo founder set up a company from a phone without visiting a counter.
Strengths
- Fully digital DSBH licensing with same-day issue possible for simple applications.
- Next to Al Maktoum airport cargo and linked to Jebel Ali Port by a bonded corridor.
- Room to grow from a desk to warehouses and land within one zone.
- Competitive starter pricing compared with central Dubai free zones.
Watch out for
- Far from central Dubai, so client meetings mean long drives.
- The airport expansion is a long-term plan; most passenger flights still use DXB for now.
- Second-visa pricing in some packages can be higher than in rival zones.
DAFZA vs Dubai South: common questions
Which is cheaper, DAFZA or Dubai South?
On our current packages, Dubai South starts lower at around AED 12,360, against AED 17,510 for DAFZA. Compare renewal too: DAFZA renews from about AED 16,480 and Dubai South from about AED 11,845. Prices are estimates; confirm before you pay.
Which gives more visas, DAFZA or Dubai South?
DAFZA allows up to 10 visas, depending on the office you lease. Dubai South allows up to 6.
Which is faster to set up, DAFZA or Dubai South?
Dubai South is typically quicker at around 7 working days for the licence once documents are complete. Visas take one to three more weeks in either zone.
Is a DAFZA licence valid for business in the rest of the UAE?
A free zone licence lets you operate inside the free zone and trade internationally. To sell directly to customers on the UAE mainland you usually need a distributor, a mainland branch or the right activity approvals, whichever zone you choose.
Can I move my company from DAFZA to Dubai South later?
Moving between free zones is possible but it is not a simple transfer. You normally register the new company or a branch in the other zone and then close or keep the old one, which means extra fees and visa paperwork. It is cheaper to pick the right zone at the start.
DAFZA or Dubai South? Ask an advisor
Tell us about your business. An advisor will recommend the best free zone and send you a full cost breakdown — usually within one working hour.
- Honest advice across all free zones
- Full cost breakdown — no hidden fees
- Licence, visa, bank account and tax in one place