The Indigenous Procurement Policy (IPP) has proven to be very successful in raising Indigenous employment levels and increasing economic development.

Today, more than fifteen hundred Indigenous owned businesses have landed more than $2 billion in contracts since the IPP’s launch on 1 July 2015.

But now the bar is to be raised further with some of Australia’s biggest businesses set to procure goods and services from Indigenous suppliers and in the process, spend more than $3 billion over the next 5 years.

The Business Council of Australia (BCA) has collaborated with Indigenous supplier organisation Supply Nation, to create this additional arrangement.

The initiative was launched by Minister for Indigenous Australians, The Hon Ken Wyatt AM MP in Perth.

‘We need to harness the public and private sector opportunities for collaboration,’ Minister Wyatt said.

‘We need this to go from strength to strength and from 1 July this year, we introduced a 3 per cent target based on value beginning at 1 per cent and phased in over 8 years.’

‘We will also expand the reach of mandatory minimum requirements for Indigenous Australian participation in major government contracts to include additional service categories, also from 1 July.’

The Minister said this will create a mindset in Indigenous people, that economic opportunities are possible and that their companies can compete and grow.

Business Council Chief Executive Jennifer Westacott said the initiative was game changing.

‘Businesses aren’t just creating economic value, they’re helping build economic capacity in Indigenous businesses,’ Jennifer said.

‘We’re already working to foster entrepreneurship, economic partnership and building lasting links with Indigenous suppliers and this is a chance to do even more.’

For more information read $3 billion boost for Indigenous businesses and Business Council of Australia 'Raising the Bar' Launch Speech.