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Working with Aboriginal and Torres Strait Islander peoples

Indigenous Procurement Policy’s billion dollar success set to continue

Indigenous Procurement Policy’s billion dollar success set to continue

Indigenous Affairs Economic Development Indigenous Procurement Policy
Tuesday, 03 March 2020

National Indigenous Australians Agency

Indigenous Procurement Policy Performance Snapshot. More Indigenous owned businesses than ever before are winning Australian Government Contracts, with more than 11,933 contracts awarded to over 1,473 Indigenous businesses with a value of over $1.83 billion. The Australian Government's Indigenous Procurement Policy drives Indigenous entrepreneurship and business development. Find out more at

More Indigenous-owned businesses than ever are taking up opportunities created by the Indigenous Procurement Policy (IPP).

The IPP is a mandatory procurement policy for Commonwealth portfolios. It is designed to drive demand for Indigenous goods and services, and grow the Indigenous business sector.

Since the commencement of the IPP in July 2015, 1,935 Indigenous businesses have won 19,527 contacts valued in total at over $2.7 billion.

From 1 July 2019, a three per cent value target was introduced, beginning at one per cent and phased in over eight years. This policy adjustment is intended to ensure Indigenous businesses are considered for contracts across the value spectrum.

Mandatory minimum Indigenous employment and supplier use for contracts over $7.5 million are currently in place in eight industries. In July 2020, contract categories for these mandatory minimums will be expanded to include additional service categories.