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    Home - E-commerce & Retail - Q&A: How Dubai South is expanding ecommerce in the region
    E-commerce & Retail

    Q&A: How Dubai South is expanding ecommerce in the region

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    Q&A: How Dubai South is expanding ecommerce in the region
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    Dubai is in the midst of a rapid and transformative ecommerce boom — one that U.S. ecommerce companies can’t afford to overlook.

    Mohsen Ahmad, CEO, Logistics District, Dubai South

    The E-Commerce Report in the MENA Region 2024, published by Invest in Dubai and supported by the Dubai Department of Economy and Tourism, projects the emirate’s ecommerce to grow to AED 50.6 billion (USD $13.8 billion) by 2029 from AED 32.3 billion (USD $8.8 billion) in 2024.

    That growth is being driven by a unique combination of government leadership, advanced logistics infrastructure, and a digital-savvy consumer base. At the center of this push is Dubai South — a master-planned city built around Al Maktoum International Airport — and its ecommerce hub, EZDubai, the region’s first purpose-built ecommerce zone. With over 920,000 square meters of facilities and direct access to both air and sea through a bonded corridor, EZDubai enables regional same-day and next-day delivery, helping companies like Amazon, Noon, and DHL Express meet rising customer expectations.

    For U.S. companies looking to enter the fast-growing Middle East market, Dubai offers real advantages:

    • Simplified licensing via the Business Dubai platform
    • An integrated fulfillment and logistics corridor
    • A regulatory environment tailored to digital commerce

    In this Q&A, Digital Commerce 360 speaks with Mohsen Ahmad, CEO of Dubai South, about how the city is positioning itself as a global ecommerce gateway — and what that means for American ecommerce brands seeking to expand internationally.

    How Dubai South is growing ecommerce

    Please explain to our U.S. ecommerce readers what is the purpose and mission of Dubai South?

    Dubai South is a master-planned city built around Al Maktoum International Airport, set to become the world’s largest, which is designed to serve as a global hub for logistics and aviation. Its mission is to support Dubai’s economic diversification by offering a fully integrated ecosystem with free zone benefits, advanced supply chain infrastructure, and a smart, sustainable urban environment for businesses and residents.

    The city seamlessly connects logistics, aviation, residential, and commercial zones, while its dedicated ecommerce hub, EZDubai, provides end-to-end fulfillment, last-mile delivery solutions, and direct access to air cargo, enabling faster processing, lower costs, and efficient regional and global distribution.

    How big is the logistics footprint of Dubai South in terms of number of companies, tons of shipments moved annually, number of flights in and out and any related metrics?

    The Logistics District at Dubai South has established itself as a leading logistics hub in the region, offering a purpose-built ecosystem that integrates air, land, and sea connectivity. Anchored by Al Maktoum International Airport, the district is designed to handle multimodal cargo flows efficiently and currently supports a growing number of freight movements annually. It is equipped to manage up to 12 million tons of cargo per year at full capacity, once the airport completes.

    Today, the district is home to 170 logistics and freight-forwarding companies, and we are proud to host nine of the world’s top global logistics players. With seamless connections to Jebel Ali Port via a bonded corridor, proximity to major highways, and the future Etihad Rail access, Dubai South enables faster, more cost-effective distribution across the UAE and beyond.

    Dubai South’s role in ecommerce logistics

    How important are ecommerce logistics to Dubai and what role does Dubai South play in this?

    Ecommerce logistics are a key pillar of Dubai’s economic strategy, supporting the rapid growth of online retail across the UAE and wider region. As consumer expectations shift toward faster deliveries and seamless returns, efficient logistics infrastructure has become essential.

    Since EZDubai was founded in 2019, our mandate was in alignment with the Dubai ecommerce strategy. We are proud to play a key role in advancing Dubai’s ecommerce industry through our dedicated ecommerce zone, EZDubai, where we have now developed 1.7 million square feet of facilities for leading regional and global ecommerce companies.

    The growth of the sector is evident. Based on our annual ecommerce report, the size of the ecommerce market in the MENA has grown from USD 13.4 billion in 2019 to reach USD 34.8 billion in 2024, reflecting a 160% growth, while in the UAE, the growth has been almost the same (158%) from USD 3.4 billion in 2019 to reach USD 8.8 billion last year. This confirms our government’s commitment via the different initiatives to advancing the sector and our commitment through the services, solutions and state-of-the-art infrastructure to grow the UAE and MENA’s ecommerce sector.

    Dubai’s designated ecommerce zone

    You have a designated ecommerce zone. What is that and how does it facilitate ecommerce development over overall and logistics ecommerce in particular?

    Our dedicated ecommerce zone, EZDubai, is strategically located within Dubai South’s Logistics District, adjacent to Al Maktoum International Airport and connected to Jebel Ali Port via a bonded logistics corridor. This positioning enables efficient multimodal connectivity, facilitating seamless movement of goods by air, sea, and land.

    Spanning over 920,000 square meters, EZDubai offers a comprehensive ecosystem tailored for ecommerce operations. It provides a range of facilities, including build-to-suit developments, ready-to-use warehouses, and office spaces with flexible lease terms. The zone supports both B2B and B2C fulfillment, catering to local, regional, and global markets.

    By providing state-of-the-art facilities, strategic connectivity, and supportive regulatory frameworks, Dubai South, through EZDubai, significantly contributes to the growth and development of Dubai’s ecommerce sector, positioning the city as a leading global ecommerce hub.

    Digital commerce growth in Dubai

    What kind of metrics can you share on the growth and development of the ecommerce zone? Who are the major players?

    Given the rapid growth of ecommerce across the UAE and wider region, we are proud to have aligned our infrastructure with market demand. To date, we have developed 1.7 million square feet of state-of-the-art facilities within EZDubai, our dedicated ecommerce zone.

    The zone is home to several leading regional and international players, including Noon, one of the region’s largest ecommerce platforms, as well as Amazon, FirstCry, and others — each leveraging the strategic location and integrated logistics ecosystem to optimize their regional operations.

    Does the U.S. have a presence in Dubai South and in the ecommerce zone? If so, can you provide any details?

    The Dubai South Logistics District is home to several prominent U.S. companies. We proudly accommodate major players such as FedEx, UPS, and Amazon, who have established significant operations within our ecosystem. Their presence underscores the strategic value of Dubai South as a logistics and ecommerce hub, providing them with seamless access to regional and global markets.

    Bringing American ecommerce companies to Dubai

    For U.S. ecommerce companies wanting to sell online in Dubai or ship through there what are the advantages?

    Dubai offers U.S. ecommerce companies a gateway to the fast-growing Middle East and North Africa market, with strong demand, high internet penetration, and a tech-savvy consumer base.

    Through EZDubai, companies benefit from direct air cargo access, streamlined fulfillment operations, and cost-effective logistics, all designed to support smooth cross-border trade and faster delivery across the region.

    What are the typical logistical barriers to entry for U.S. ecommerce companies and how does Dubai South help them overcome these obstacles.

    U.S. ecommerce companies often face challenges such as cross-border customs complexities, high last-mile delivery costs, and fragmented regional distribution networks when entering the Middle East.

    Dubai South helps overcome these barriers through its integrated logistics ecosystem, centralized location, and streamlined customs processes. EZDubai offers ready-to-operate facilities, bonded warehousing, and direct air cargo access, enabling faster clearance, reduced costs, and simplified access to regional markets.

    Sign up

    Sign up for a complimentary subscription to Digital Commerce 360 B2B News. It covers technology and business trends in the growing B2B ecommerce industry. Contact Mark Brohan, senior vice president of B2B and Market Research, at [email protected]. Follow him on Twitter @markbrohan. Follow us on LinkedIn, X (formerly Twitter), Facebook and YouTube.

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