Supply Nation, which manages Australia’s largest national directory of verified Indigenous businesses, has released its ‘State of Indigenous Business’ report.
According to the organisation, the 2024–25 financial year showed significant growth in procurement spending with Indigenous suppliers.
A new national milestone was reached with Supply Nation members (corporate, government and not-for-profit sectors) recording a total of over $5.83 billion in procurement spend with verified Indigenous-owned businesses up from $4.6 billion the previous financial year. Of this figure, 90% was with small- to-medium-sized businesses.
The ‘State of Indigenous Business’ report draws on data from Supply Nation’s supplier and member records to provide a comprehensive view of trends, challenges and opportunities shaping the Indigenous business sector.
The report confirms that businesses led or owned by women are making a significant contribution to the sector, receiving $1.52 billion in procurement spend. Construction was the leading sector for female-owned Indigenous businesses.
The mining and resources industries recorded the largest procurement spend at $1.65 billion, followed by construction with $1.26 billion. Government departments and agencies recorded $1.53 billion. Procurement in the financial and insurance services sectors increased from $47 million to $145 million.
Members based in Western Australia and NSW had the highest spend with Indigenous-owned suppliers. Suppliers in urban centres received 82% of the spend, while remote and rural businesses accounted for 18%.
“In a difficult year with trade disruptions, economic uncertainty and cost of living challenges, our members and suppliers have continued to seek opportunities for commercial collaboration, driving growth and resulting in positive economic and social outcomes,” says Supply Nation CEO Kate Russell.
“The report found that the overwhelming majority of procurement spend went to certified suppliers, businesses that are 51% or more Indigenous owned, managed and controlled, rather than with registered suppliers, 50% or more Indigenous owned. This supports the recent reforms by the federal government to increase the definition of an Indigenous business to 51%.”
Supply Nation’s recently released report, ‘The sleeping giant rises’, found that for every dollar of revenue produced by Indigenous-owned businesses, $3.66 of positive economic and social value was generated into the Australian economy.
Social value refers to the positive changes seen through an Indigenous lens of wellbeing. This value includes improved agency and control over life, expanded aspirations, financial security, pride, physical health and mental wellbeing and stronger connections to community, culture and country.
