Understanding the Circular on Requirements for Warehouses in Abu Dhabi
The Abu Dhabi Department of Economic Development (ADDED) issued Circular No. (14) of 2022, dated October 5, 2022, addressing the reconciliation of the status of warehouses and storage units used for economic activities in Abu Dhabi. This circular emphasizes compliance with Administrative Decision No. (69) of 2016, which regulates the requirements for warehouses used for economic purposes.
Overview of the Circular
The circular mandates all economic establishments in Abu Dhabi operating warehouses or storage facilities for their activities to meet specific conditions. Businesses must align their operations with these requirements within one month of the circular’s date to avoid penalties or legal violations.
Key Requirements for Warehouses and Storage Units
Mandatory Licensing and Approvals
- Obtain a warehouse license from the Department of Economic Development (DED).
- Secure approval from Civil Defense for safety compliance.
Surveillance and Location Standards
- Install surveillance cameras in warehouses, ensuring proper coverage.
- Choose locations in industrial areas or remote, unpopulated areas away from residential zones.
Accessibility and Inventory Management
- Ensure warehouses are in easily accessible locations.
- Maintain appropriate inventory storage, with goods stored inside and not stacked outside.
- Divide the warehouse into sections based on inventory type for effective organization.
- Equip warehouses with adequate lighting and ventilation suited to the stored materials.
Prohibited Activities
- Direct sales from warehouses are not allowed.
- Administrative offices unrelated to warehouse operations are prohibited.
- Warehouses cannot be used as residences, and installing a kitchen is strictly forbidden.
- Goods stored must align with the business’s licensed activities.
Inspection and Identification
- Warehouses must remain accessible for inspection by ADDED inspectors at any time.
- Install a license plate at the warehouse entrance displaying:
- The trading name in Arabic and English.
- The word “Warehouse”.
- The license number.
Importance of Compliance
Compliance with these requirements for warehouses in Abu Dhabi is crucial for:
- Ensuring the safety and functionality of storage facilities.
- Avoiding legal penalties and operational disruptions.
- Enhancing the organization and efficiency of warehouse operations.
Take Action Now
All businesses are urged to reconcile the status of their warehouses promptly, aligning with the circular’s conditions. For professional assistance in meeting these requirements for warehouses and storage units used for economic activities in Abu Dhabi, contact Plus UAE, the #No.1 business consultancy in the UAE.