Have you ever thought about starting your own water purification business in Dubai? Dubai is located in a desert area where there are limited water sources which increases the demand for clean, filter water rises. So, there is no better place to start a water related business than the UAE. Whatever you want to do, whether selling bottled water, offering water purification services, or finding new business prospects, this step by step guide will let you know everything. So, let’s discuss how to start water business in UAE and become a successful entrepreneur.
Types Of Water Business In Dubai, UAE
The water industry in UAE is very successful and profitable and comprises reputable business types that serve both the local market and international markets.
So, before knowing how to start water business in UAE, let’s find out the most profitable water-related companies that you can opt for:
- Bottled Water
Bottling and distributing water production companies. These businesses can deal in mineral, flavoured, and pure water, looking at domestic and international markets. From 2021 to 2026, the United Arab Emirates Bottled Water Market will grow at a CAGR of 11.02%.
- Water Purification Business
Water purification companies in Dubai provide water treatment services to offer better quality fresh water for residential and commercial use and are exclusive to industrial use. Reverse osmosis, desalination, and filtration systems are used by the companies to make tap water free from bacteria and contamination.
- Desalination Plants
As UAE is a desert based area and lacks natural freshwater resources, desalination is important. Large-scale desalination plant units are operated by firms that convert seawater into potable clean water.
- Water Distribution and Delivery
These businesses sell or treat water in bottles or provide ‘on demand’ water to homes, offices, health departments, industries, and many other private sectors.
- Water Storage Solutions
Companies that provide tanks, reservoirs, and other storage solutions for the daily water needs of residential, commercial, and industrial sectors.
- Water Recycling and Reuse
It includes companies that help with wastewater treatment and water recycling to support sustainability efforts for businesses and municipalities to reduce the water consumed.
- Irrigation and Landscaping, Water Supply
Companies that irrigate agricultural lands or provide services for residential and commercial landscaping services, with an emphasis on saving water.
- Water Vending Kiosk & Machines
The business of dispensing clean, purified water through automated vending systems is a good way for consumers to get clean, purified water in a cost-effective way.
- Water Testing and Analysis
Companies that test water quality for environmental, health, and safety reasons. Both private and public sector organisations use these services.
How to Setup a Water Business In the UAE?
The UAE’s hot climate and strong demand for clean tap water and bottled water make it an area where a water purification company formation can be very lucrative. Here are the steps to get you started:
Step #1: Conduct Market Research
To open a purification company formation in Dubai, you need to know that this sector has no export processes. Studying the growing market is essential before starting the company registration process. Find out your niche—bottled water, water filtration systems, delivery services and custom branded water.
Look at other competitors like Masafi or Al Ain, how they’re making money, and what the gap in the market is. Additionally, determine your product or service demand in residential, corporate offices and hospitality areas. It would let you know what you offer consumers and position them accordingly.
Step #2: Choose a Business Model
Choosing the right business model is a matter of your success. If you’re in the area of water products, you could create a manufacturing plant for purifying, bottling and distributing water, or you can import and trade water products.
One alternative is to become a franchisee of a household water transportation brand. You can also offer services like water purification or filtration systems for homes and businesses. Different models have different strengths, so pick a suitable one that fits your market’s wants.
Step #3: Decide Your Business Location
The most important issue that should be considered is the proper choice of location for your business in the UAE. If you want to trade across the UAE, you can set up on the mainland. You can have benefits like 100% ownership with tax exemptions there, but you don’t get to do direct mainland trading.
International trade needs offshore business setups but restricted local operations. So, consider evaluating these options based on your location if your location supports your business activities.
Step #4: Obtain Necessary Licenses and Permits
In order to legally run your water business, you will have to obtain the necessary licenses and permits. For mainland operations applications, you must obtain a business license from the Department of Economic Development.
In addition to getting certifications from Dubai Municipality for hygiene standards, you also need approvals from the UAE Ministry of Health and Prevention for water quality and the Emirates Authority for Metrology and Standardization Products (ESMA).
Are you looking for help with licenses and approvals? Consult Xpert Advisory now. Our experts will walk you through every step of getting approval from government authorities.
Step #5: Establish a Facility
One of the most important parts of your operations is setting up the right facility. If you intend to produce water, build a bottling plant that follows clean and safety regulations.
Be sure you have good storage and delivery facilities to keep product quality. You also need to get your hands on reliable machinery for treating water, bottling and labelling it to speed up production.
Step #6: Start Registration Process
Next you need to register your business to protect your intellectual property. Get your business name and logo trademarked by the UAE Ministry of Economy to get a legal monopoly on the brand you’ve created. Not only do you get legal protection as a registered brand, but it also improves your credibility and is essential for success in the extremely competitive market.
Step #7: Water Quality Test & Certification
Water quality is paramount in the UAE; your product must tick all the boxes. To comply with local regulations, you must conduct rigorous testing and, in food safety, be certified through HACCP (hazard analysis critical control point).
Certification will give you extra peace of mind because it always has to do with the quality and safety of your water products and will help raise your brand’s reputation.
Step #8: Develop a Business Plan
Sketch out all your business startup costs, including the trade license, facilities, equipment, and staffing needed. Determine how you will generate and how you will charge for your income.
Step #9: Launch Marketing Campaigns
Building your brand and attracting customers is mostly through marketing. Promote your business on social media platforms, at local events, and through collaborations with hotels, restaurants, and gyms.
Also, take advantage of introductory deals — offer free samples or discount delivery to buzz around and get your first purchases. This modern technology helps to put you on the map, making your business competitive against other water industries.
Step #10: Focus on Sustainability
Adding sustainability to your water business helps the environment and caters to eco-minded consumers. Avoid sending many of your products in plastic bottles or containers to the trash bin. Instead, use environmentally friendly packaging like biodegradable or reusable bottles. From branding and marketing, remind your customers about disliking of plastic bottles and your sustainability efforts to create a loyal customer base.
Final Words
Learning how to start water business in UAE can give great possibilities to a developing industry. If you want to sell water, choose bottled water, desalination, or water vending machines and ensure eco-friendly practices. Also, if you have a good plan and a sound business model and put quality first, your business will succeed in the UAE.
Ready to get started? Xpert Advisory can guide you in setting up your water business in a Freezone or a Mainland location. Contact us today for personalised support for your water business success!
FAQs
Is The Water Business In The UAE Profitable?
A mineral water bottle plant in the United Arab Emirates (UAE) is a profitable business opportunity because clean and safe drinking is continuously in demand.
Is License Enough to Sell Water In Dubai?
Having a license is not enough to sell mineral water in Dubai. After getting the license, you need approval from the Food Safety Department of Dubai Municipality. They monitor food safety and the quality of food and beverages consumed in the city by the Food Safety Department of Dubai Municipality.
What Is The UAE’s Main Water Supply?
There are two sources of water in the UAE: seawater and groundwater-desalinated seawater. Agriculture in Al Ain and Liwa employs groundwater, while all drinking water is desalinated seawater across the Emirates.
What Is The Demand For Water In The UAE?
The UAE consumes the most water globally, with an average of 500 litres per day – more than 50 percent above the global average.