QCC And FTA Sign Agreement To Launch Consultancy Service For Measuring Natural Loss Of Excise Goods In The UAE

The Abu Dhabi Quality and Conformity Council (QCC) has taken a significant step by signing a Service Level Agreement with the Federal Tax Authority (FTA). This collaboration aims to introduce a specialised technical consultancy service for UAE manufacturers, focusing on measuring the actual natural loss of excise goods. This initiative is part of efforts to improve product quality and technical inspections.

The agreement was formalised by Khalid Ali Al Bustani, Director-General of the FTA, and Fahad Gharib Al Shamsi, Acting Secretary-General of QCC. It took place during the 45th edition of GITEX Global 2025 at the Dubai World Trade Centre. This move aligns with FTA Decision No. 6 of 2025, which outlines standards for managing natural loss in designated zones due to the inherent properties of excise goods.

Under this decision, QCC's Central Testing Laboratory has been accredited as the first independent entity authorised to conduct tests on excise goods. The "Actual Natural Loss Measurement Service for Excise Goods" aims to quantify natural loss during production, storage, or transport due to the nature of the goods themselves. This is crucial for tax exemption on excise goods that become unfit for consumption within FTA-registered zones.

This service provides precise data through sample collection, laboratory testing, and analysis of production conditions. It enhances data reliability submitted to the FTA. Businesses can access service details via the FTA’s website under lost or damaged excise goods declarations. The service supports tax compliance and ensures fair procedures for excise taxpayers and registered warehouse keepers in designated zones.

The agreement highlights ongoing cooperation between QCC and FTA, showcasing their commitment to offering distinguished services using advanced laboratory testing technologies. An FTA delegation recently visited QCC headquarters to explore its facilities and testing methods related to excise goods' natural properties and product loss measurement.

Khalid Al Bustani emphasised that this agreement establishes an effective framework for cooperation, enhancing coordination and information exchange between both entities. He noted its relevance in technical testing and analysis of excise goods, supporting FTA’s plans for voluntary compliance aligned with best governance practices. He praised QCC’s role in strengthening Abu Dhabi's quality infrastructure.

Al Bustani added that this initiative aligns with FTA's efforts to provide proactive services in collaboration with strategic partners across government and private sectors. It enhances transparency and achieves high efficiency in tax procedures, consistent with the government’s vision for an integrated institutional ecosystem.

Eng. Fahad Gharib Al Shamsi commented on the agreement: "This agreement reaffirms QCC’s commitment to supporting national entities in developing innovative solutions based on scientific testing and precise technical analysis, thereby enhancing transparency and efficiency in tax processes and improving the quality of traded products and goods."

He further stated that this strengthens trust between manufacturers and consumers while supporting Abu Dhabi's economy. Providing this consultancy service is a strategic move to enhance Emirati products' competitiveness locally and globally, reaffirming QCC's leadership in implementing high-quality standards across markets.

Abu Dhabi QCC is a key government entity focused on developing quality infrastructure in the emirate. It ensures safety for locally traded products through its Central Testing Laboratory, which offers advanced testing services supporting manufacturers and economic sectors.

With inputs from WAM