The UAE is establishing itself as a global center for cross-border e-commerce
Abu Dhabi, 8 March / WAM / The UAE has established its position as one of the most prominent global and regional centers in the e-commerce sector, benefiting from an integrated system that includes an advanced logistical infrastructure, an accelerated digital transformation in government services, and a flexible legislative environment that supports the digital economy.
These factors contributed to strengthening the country’s role as a major platform for managing cross-border digital and e-commerce operations in the region, and also made it a starting point for international companies wishing to expand to the markets of the region, Asia, and Africa.
Specialized international reports indicate that the UAE is one of the most prepared markets for digital trade in the world, as a Standard Chartered report showed that the country leads many global markets in terms of readiness for digital trade, thanks to the strength of the country’s digital system, the clarity of its regulatory environment, and the speed of companies adopting modern technologies that contribute to reshaping international trade paths.
A study issued by Euro Monitor International in cooperation with EZ Dubai showed that the e-commerce market in the UAE has recorded rapid growth in recent years, reaching about 32.3 billion dirhams in size in 2024, with expectations that it will rise to exceed 50.6 billion dirhams by 2029, with a compound annual growth rate of 9.4%.
The UAE’s influence is not limited to the local market, but extends to supporting the growth of e-commerce at the regional level, as international reports confirm that the e-commerce market in the Middle East and North Africa region is witnessing rapid growth, and the size of the market in the region has reached about $34.5 billion in 2024, with expectations of it rising to about $57.8 billion by 2029.
Experts believe that the UAE plays a pivotal role in supporting this regional growth, given its strategic capabilities that make it a major center for digital supply chains in the region.
Hemang Kapoor, CEO of Sheba, the e-commerce arm of the Agility Group, said that the UAE has emerged as one of the most effective centers in the world for managing digital trade and cross-border logistics services, and its strategic location allows companies to reach more than two-thirds of the world’s population within an 8-hour flight, making it an ideal gateway to the Middle East, Africa and South Asia.
He pointed out that this geographical advantage is supported by world-class infrastructure, as Dubai International Airport handled about 2.2 million tons of cargo in 2024, while DP World handled 88.3 million TEUs across its network.
He said: In addition to free zones, digital trade platforms, and advanced logistics capabilities, the UAE has developed from a mere transit point to a regional control center for international supply chains. He explained that the UAE’s investment in digital customs systems and smart logistics platforms has contributed to significantly reducing obstacles to cross-border trade. According to Dubai Customs, 98% of customs transactions are now completed electronically, and Dubai Trade’s digital delivery order platform has shortened procedures that used to take up to 48 hours to less than 48 hours. 10 minutes, and in Abu Dhabi, digital customs initiatives have enabled 72% of shipments to be cleared before their arrival by 2024.
He emphasized that these efficiencies translate directly into lower costs, faster delivery, and greater reliability in international shipping.
Ahmed Kazim, Chief Investment Officer at Tradex, said that the UAE today is no longer just a traditional commercial center, but has become an integrated operating platform for managing digital trade regionally and globally. He explained that there are three main facts that explain this role, the first of which is the volume of the country’s foreign trade, the strategic geographical location, in addition to the diversity of trade partners, which represents one of the elements of strength in the UAE trade system, in light of the country’s connection to an increasing number of comprehensive economic partnership agreements.
He pointed out that digital customs systems in the UAE, such as the Dubai Trade platform and the Mersal 2 system, have contributed to reducing customs clearance time from days to hours in many cases.
He explained that the company’s operational experience shows that clearance time in the UAE can be reduced by between 30% and 50% compared to some other regional corridors.
Kazim said that UAE excellence is not limited to infrastructure only, but is based on the integration of several elements into one system, including flexible and rapidly modernizing regulation, specialized free zones, an advanced banking sector, political and economic stability, in addition to the early adoption of government digital transformation.
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