National In-Country Value (ICV) Certification is an important program developed by the government of the United Arab Emirates (UAE) to support and promote local businesses and industries. The program aims to enhance the competitiveness of local businesses, promote economic growth and diversification, and encourage innovation, research, and development.
This blog entails all the information you need to know about National In-country Value Certification. Read more about ICV Certificate
What are the objectives of National ICV Certifications?
I. Promoting Local Businesses and Economic Growth
One of the cardinal objectives of the ICV certification program is to promote the utilization of local goods and services, which can aid in the development of Small and Medium Enterprises (SMEs) in the UAE. Additionally, the program aims to diversify the economy and reduce the country’s dependence on oil and gas revenues, which can mitigate the impact of fluctuations in the global oil market.
Improving Quality and Productivity
The ICV certification program also aims to enhance the quality and productivity of local businesses, by encouraging them to adopt international standards and best practices.
This can be accomplished by promoting innovation and research and development, which can augment the competitiveness of local businesses and improve their ability to compete in global markets.
Additionally, the program can help to improve the overall quality of goods and services produced in the UAE, which can enhance the country’s reputation as a reliable supplier of high-quality products and services.[1]
Encouraging Innovation and Research and Development
Innovation and research and development are essential components of the ICV certification program, as they can drive economic growth and diversification.
The program endeavors to foster collaboration between local businesses and research institutions, which can promote new ideas and technologies. Additionally, the program can aid in the development of new products and services, which can diversify the economy and create new opportunities for local businesses.
Enhancing National Identity
The ICV certification program also aims to promote the utilization of national products and services, which can enhance the national identity and pride of the UAE.
Additionally, the program can promote the utilization of national products and services, which can create a sense of national pride and augment the country’s reputation as a reliable supplier of high-quality goods and services.
Compliance and Auditing
The ICV certification program includes a compliance and auditing process, which is utilized to assess and certify the ICV of local businesses. This process comprises a thorough examination of the business’s operations, to ensure compliance with standards and guidelines set by the Ministry of Economy.
Additionally, the program includes an annual renewal process, as the ICV certification is valid for a period of one year. Regular audits are conducted to ensure compliance with ICV standards and guidelines.
In conclusion, National In-Country Value (ICV) Certification is an important program that helps to support and promote local businesses and industries in the United Arab Emirates (UAE).
It helps to create jobs, boost economic growth, and promote innovation and research and development. Additionally, it helps to improve the competitiveness of local businesses, promote national identity, and ensure compliance with standards and guidelines.
Who Needs National ICV Certification?
National In-Country Value (ICV) Certification is typically required for businesses operating in the United Arab Emirates (UAE) that want to participate in government or private sector projects.
The ICV certification program is designed to support and promote local businesses and industries, and to ensure that a certain percentage of the value of these projects is retained within the country.
ICV certification is typically required for businesses that provide goods or services in areas such as construction, engineering, oil and gas, and other key industries. However, the specific requirements for ICV certification may vary depending on the type of project and the industry sector.
The ICV certificate represents that the business has met the criteria set out by the Dubai Economic Department (DED) for ICV certification. These criteria include having a certain percentage of UAE national ownership, using local suppliers and vendors, and investing in research and development.
In general, obtaining an ICV certification signifies that the business is actively contributing to the development of the local economy by creating jobs, promoting innovation and research, and using local suppliers and vendors. The certification also demonstrates that the business is committed to meeting international standards and best practices in its
operations and that it’s contributing to the diversification of the economy and reducing dependence on oil and gas revenues.[3]
Additionally, ICV certification is becoming increasingly important for businesses looking to participate in government tenders and contracts, as many government entities are now requiring ICV certification as a prerequisite for participating in these tenders.
It’s important to note that the ICV certification process and requirements are subject to change and it’s always recommended to check the latest regulations and guidelines from Dubai Economic Department (DED) and other relevant authorities.
How to Obtain a National ICV Certificate?
Obtaining National In-Country Value (ICV) Certification in Dubai can be a multi-step process. Here is an overview of the steps businesses may need to take to obtain ICV certification:
- Review the Criteria: Businesses must first review the criteria and guidelines for ICV certification as set out by the Dubai Economic Department (DED). These criteria include having a certain percentage of UAE national ownership, using local suppliers and vendors, and investing in research and development.
- Register with the DED: Businesses must register with the DED in order to be eligible for ICV certification. This typically involves submitting an application along with supporting documentation such as proof of ownership and financial statements.
- Complete an ICV Assessment: Once registered, businesses must complete an ICV assessment in order to determine their ICV score. This assessment is conducted by a third-party auditor approved by the DED and covers areas such as local content, value addition, and local vendor development.
- Obtain ICV Certification: Once the ICV assessment is complete, businesses can apply for ICV certification. The DED will review the assessment report and make a decision on whether to grant certification.
- Renewal of certification: The ICV certification is valid for a period of one year, and must be renewed annually. Businesses must submit their renewal application, along with updated documentation and the ICV assessment report to the DED.
It’s important to note that the process may vary depending on the type of goods or services being provided by the local business and it’s always recommended to check the latest regulations and guidelines from Dubai Economic Department (DED) and other relevant authorities.
Some businesses may also need to obtain additional licenses and permits in order to be eligible for ICV certification. Furthermore, it’s advisable to seek professional guidance from ICV consultants to ensure that the process is completed correctly and efficiently.
