Why choosing Aboriginal and Torres Strait Islander businesses makes supply chains fairer, stronger and more human
Social procurement can sometimes sound technical or process‑heavy. But at its heart, it’s simple: using everyday purchasing decisions to create real opportunities for people who have historically been underrepresented.
When organisations choose to partner with Aboriginal and Torres Strait Islander businesses, the impact is immediate, measurable and transformative.
Why social procurement matters
For First Nations communities, procurement isn’t just about contracts – it’s about economic access, employment pathways, and self‑determination.
According to the Australian Government’s Indigenous Procurement Policy (IPP), more than $13.5 billion in contracting opportunities have been generated for over 4,700 First Nations businesses since 2015.
Research relayed by the Australian Parliament House also shows that Aboriginal businesses are 100 times more likely to employ First Nations people than non-Aboriginal businesses, creating direct local jobs where they matter most.
Every time an organisation chooses a First Nations supplier, they’re helping open up pathways to long‑term employment and economic opportunity.
A growing and thriving sector
Momentum in the First Nations business sector continues to accelerate. In 2024–25, Supply Nation–verified businesses recorded $5.83 billion in procurement spend, an increase of more than $1 billion from the previous year.
This reinforces a powerful truth:
Aboriginal and Torres Strait Islander businesses are competitive, high‑quality and deeply valued across corporate and government supply chains.
Many businesses also reinvest revenue back into their communities – from youth programs to cultural initiatives and local employment pathways – multiplying social and economic value.
How social procurement creates a fairer supply chain
Social procurement shifts the focus from “buying the lowest price” to “buying the best outcome”.
For First Nations participation, that looks like:
1. More jobs and skills pathways
The Indigenous Procurement Policy (IPP) embeds First Nations participation and employment targets into major contracts, leading to sustained workforce development rather than short‑term engagements.
2. Stronger First Nations businesses
Corporate and government buyers collectively delivered $4.6 billion in spend to Aboriginal‑owned businesses in 2023–24, helping the sector continue to mature and scale nationally.
3. More ethical, culturally informed supply chains
First Nations businesses bring cultural knowledge, sustainable practices and deep community perspectives that strengthen procurement ecosystems.
4. Community‑level impact
Procurement decisions can support generational change – influencing employment, education, local economies and long‑term community wellbeing.
How The Fair Co. supports this work
At The Fair Co., we help organisations turn good intentions into real, measurable change.
We support teams to:
- Build inclusive, fair and transparent social procurement processes
- Directly engage with verified First Nations suppliers
- Strengthen ethical and socially responsible supply chain practices
- Create workplace cultures where fairness, safety and inclusion are lived values
Amplifying First Nations participation isn’t just about ticking a box – it’s about shifting established systems so more opportunities empower communities with the strong, thriving futures they deserve.
And the good news? Every organisation can make a difference.
Every procurement decision can help build a more ethical, inclusive and economically strong Australia. Get in touch to learn more.
