Dubai Customs suspends application of new customs duty threshold of AED300 with effect from 1 March 2023

According to the GCC Unified Guide for Customs Procedures, no customs duties are payable for consignments or packages with a value of more than SAR1,000 (approximately AED979) which are transported and imported using courier companies. There is also a weight limit that needs to be met.

On 22 June 2022, Dubai Customs issued Customs Notice 05/2022, according to which the customs threshold of SAR1,000 would be lowered to AED300, with effect from 1 January 2023.

According to an email circulated by Dubai Customs, the GCC customs threshold of SAR1,000 has now been reinstated for goods imported in Dubai with effect from 1 March 2023.

The email reportedly included the following message:

“Kindly be informed that Paragraph (a) of Article (2) of Customs Notice 5/2022 related to exemption of consignments with value not exceeding AED300 has been suspended and that it has been decided to re-establish the previous threshold for exemption of parcels/shipments of AED1,0001 effective 1 March 2023, until further notice.”

It should be noted that certain excise goods, such as tobacco and tobacco products, cannot benefit from a customs exemption and will be subject to customs duties regardless of their value.

Key takeaway

The reinstatement of the GCC customs threshold (SAR1,000) is welcome news for consignees that import goods in Dubai on a regular basis using courier companies. Although the courier usually pays the customs duties on behalf of the consignee upon import, these costs are ultimately borne by the customer.

¹SAR1,000