Why Logistics Companies Are Rushing to Get the ICV Certificate in UAE

Why Logistics Companies Are Rushing to Get the ICV Certificate in UAE

In recent years, the In-Country Value (ICV) certificate in UAE has become more than just a compliance requirement — it’s now a strategic advantage for companies operating across sectors, especially in logistics. As government spending and local procurement policies evolve, logistics providers are moving quickly to obtain the ICV certificate, positioning themselves to tap into a growing pool of opportunities.

What is the ICV Certificate?

The ICV certificate is part of the UAE’s national In-Country Value Program, originally launched by ADNOC (Abu Dhabi National Oil Company) and later expanded across federal and local government entities. The purpose of the certificate is to measure the economic value a company brings to the UAE, including:

• Local hiring

   

• Use of local suppliers

   

• Investment in local infrastructure

   

• Emiratization efforts

   

• Revenue retained within the country

   

This score is then used in government and semi-government procurement evaluations, giving preference to businesses that contribute more to the local economy.

Why Logistics Companies Are Embracing It

1. Access to Government Contracts

Logistics and supply chain firms play a critical role in national infrastructure and public sector projects. With major UAE entities such as ADNOC, Mubadala, and the Ministry of Industry and Advanced Technology prioritizing ICV scores in tendering, logistics companies without an ICV certificate are at a clear disadvantage.

2. Rising Demand in Manufacturing and Energy Sectors

As the UAE pushes to localize production and boost industrial output (as part of the “Make it in the Emirates” campaign), logistics becomes a backbone for movement of goods. Companies with strong ICV scores are more likely to become preferred logistics partners for manufacturing firms that are also ICV-compliant.

3. Competitive Edge in a Crowded Market

The logistics sector is competitive, especially in Dubai and Abu Dhabi. Holding a high ICV score can differentiate a firm when bidding for large-scale contracts, partnerships, or cross-sector collaborations.

4. Alignment with Vision 2031

The ICV initiative aligns with the UAE’s Economic Vision 2031, which emphasizes diversification and local value creation. Logistics companies that proactively align with this policy are more likely to benefit from long-term strategic alliances and regulatory support.

How to Get the ICV Certificate in UAE

To obtain the ICV certificate, logistics companies must undergo a third-party audit by an approved ICV certifying body. The audit will review:

• Financial statements (audited within the past 2 years)

   

• UAE-based employee salaries and benefits

   

• Supplier spend analysis (local vs. foreign)

   

• Capital investment within the UAE

   

Once approved, the certificate is valid for 14 months and must be renewed annually to remain eligible for government-related projects.

Key Tips for Logistics Firms

• Start early: The certification process can take several weeks.

   

• Optimize local spending: Source more materials and services locally.

   

• Invest in training: Emirati workforce development is rewarded in the scoring model.

   

• Collaborate with ICV consultants: They can help improve your score and audit readiness.

   

Final Thoughts

The ICV certificate in UAE is no longer optional — it’s a necessity for logistics firms aiming to grow in the government and industrial sectors. Those who adapt early are not just ensuring compliance but unlocking sustainable growth, better visibility, and long-term profitability in one of the region’s most dynamic markets.