Indigenous businesses continue to grow the economy

New data has indicated Indigenous-owned businesses are making a serious contribution to the national economy.

Supply Nation has launched its most recent State of Indigenous Business report that shows significant growth in procurement spending with Indigenous suppliers, reflecting ongoing efforts to strengthen supplier diversity and economic participation across Australia.

In the 20204-25 financial year 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 per cent was with small- to-medium-sized (SMEs) 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 showcases how Supply Nation’s members are leveraging procurement to drive economic participation and self-determination for Aboriginal and Torres Strait Islander communities.

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.

Positive economic and social outcomes

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 New South Wales had the highest spend with Indigenous-owned suppliers. Suppliers in urban centres received 82 per cent of the spend, while remote and rural businesses accounted for 18 per cent.

“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,” Supply Nation CEO Kate Russell said.

“The report found that the overwhelming majority of procurement spend went to Certified Suppliers, businesses that are 51 per cent or more Indigenous owned, managed and controlled, rather than with Registered Suppliers, 50 per cent or more Indigenous-owned. This supports the recent reforms by the Federal Government to increase the definition of an Indigenous business to 51 per cent.”

Positive changes

Supply Nation’s recently released The Sleeping Giant Rises report 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 – one that encompasses people, Country, and Culture.

This value includes improved agency and control over life, expanded aspirations, financial security, pride, health and wellbeing, and stronger connections to Community, Culture and Country.

https://supplynation.org.au/uploads/Supply-Nation-2025-The-Sleeping-Giant-Rises-report.pdf