Supply Nation facilitates a record $5.8b in annual procurements for Indigenous businesses

Australian supplier diversity organisation Supply Nation has passed a new milestone as its members recorded a total of over $5.83 billion in procurement spend with verified Indigenous-owned businesses in FY25.

The record figure, which is based on 96 per cent of data submitted by corporate, government and not-for-profit members eligible to record procurement transactions, is $1.23 billion higher than a year earlier.

The latest result has lifted the total procurement spend through Supply Nation to more than $26 billion since it was founded in 2009.

Supply Nation, which has 859 members who seek to engage with the Indigenous businesses registered as suppliers with the organisation, has revealed that NSW member organisations contributed $1.71 billion to the FY25 total, followed by $1.43 billion in Western Australia and $1.13 billion in the Australian Capital Territory.

Queensland-headquartered members recorded $800 million, followed by Victoria at $630 million and $120 million each for South Australia and Northern Territory members.

“At a time when our member organisations are confronted with global trade disruptions, cost-of-living pressures and fiscal uncertainties, achieving this milestone in procurement dollars with Indigenous-owned businesses is remarkable and shows real commitment by both our members and Indigenous suppliers to economic empowerment and positive change through business collaboration,” says Kate Russell, proud Awabakal woman and Supply Nation CEO.

Government agencies at the federal, state and territory level and local councils recorded procurement spend of $1.52 billion, or 26 per cent of the overall FY25 total.

The mining industry recorded the highest procurement of any industry sector with a spend of $1.64 billion, followed by construction with $1.26 billion.

Facilities management services recorded more than $284 million while the financial and insurance sector reached a total of $145 million.

Supply Nation has determined that every dollar of revenue produced by Indigenous-owned businesses delivers $3.66 of positive economic and social value for the Australian economy.

The organisation says that social value refers to the positive changes seen through an Indigenous lens of wellbeing, one that encompasses people, country and culture.

“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,” says Supply Nation.

The organisation notes that Indigenous businesses create this value purely by operating as a business and excludes any formal or informal support or other philanthropic programs.

“Today’s confirmation of our member’s total procurement spend confirms that the Indigenous business sector is growing and having a positive impact on improving the lives of Aboriginal and Torres Strait Islander peoples,” says Russell.

“Our entrepreneurs and business owners are contributing to building intergenerational wealth and opportunity. They are closing the gap. This should be celebrated.”