Changes to the Indigenous Procurement Policy (IPP) eligibility criteria commenced on 1 July 2026.
Latest updates
Indigenous Business Verification and Support Services (IBVSS) Approach to Market (ATM) released
The NIAA has released an Approach to Market (ATM) on AusTender to identify a provider for verifying Indigenous businesses against the strengthened Indigenous Procurement Policy (IPP) eligibility criteria and provide an online registry of verified Indigenous businesses.
Potential tenderers can find out more on AusTender.
Tenders will only be accepted through the process outlined on AusTender.
Submissions close: Friday 18 September 2026.
Industry Briefing
NIAA is holding an industry briefing for potential tenderers on Thursday 20 August 2026.
Details on how to register for the industry briefing are available through AusTender. Queries relating to the tender process can be sent to IPPTenders@niaa.gov.au.
Responses will be posted on AusTender as addenda.
Supply Nation contract
The NIAA has extended Supply Nation’s contract for 12 months to maintain the database of businesses satisfying the original IPP definition of a First Nations business (50 per cent or more First Nations owned). This will stabilise verification services while we transition to the strengthened IPP eligibility criteria.
Strengthened IPP criteria
Under the strengthened eligibility criteria, an Indigenous Enterprise is defined as:
- 51% or more First Nations owned and controlled; or
- registered with the Office of the Registrar of Indigenous Corporations.
This is to ensure First Nations business owners accessing the IPP are empowered to run their businesses and exercise their rights as majority owners.
Transition arrangements
There will be a transition period to give First Nations businesses time to understand the changes and arrange verification under the strengthened criteria if they choose.
Transition arrangements will apply in the 2026-27 financial year. Indigenous businesses will be eligible to access the IPP, if they meet either:
- the original eligibility criteria of at least 50% Indigenous ownership or
- the strengthened criteria of at least 51% Indigenous ownership and control.
Increasing ambition for the IPP
The Government announced changes to the Indigenous Procurement Policy (IPP) in February 2025. The changes increase the ambition of the policy and aim to ensure that the economic benefits of the IPP are genuinely flowing to First Nations people as intended.
The changes reflect feedback from consultations and recommendations from Parliamentary inquiries.
- The IPP eligibility criteria: The eligibility criteria for the IPP will be strengthened to require that Indigenous businesses are 51% or more First Nations owned and controlled (or registered with ORIC) to access the IPP. This will ensure First Nations business owners accessing the IPP are empowered to run their businesses and exercise their rights as majority owners.
- Commonwealth and portfolio procurement targets: On 1 July 2025, the target for the Commonwealth and portfolios to buy from Indigenous Businesses increased to 3%. The target will continue to increase by 0.25% each year until it reaches 4% by 2029-30. The Government will also review the methodology for the target calculation and measurement.
- Increase transparency: NIAA will explore the feasibility of increasing transparency of suppliers’ performance against Indigenous participation targets contained in high value contracts (Mandatory Minimum Indigenous Participation Requirements).
- Tackle 'black cladding': The Government remains committed to exploring options to tackle black cladding in other ways. The NIAA will work with relevant regulators and support services to identify opportunities to make it easier for First Nations people to report black cladding that might amount to unlawful conduct and provide targeted education, guidance and support for First Nations business owners.
Consultations
On 18 December 2023, Senator the Hon Malarndirri McCarthy, the then Assistant Minister for Indigenous Australians and Indigenous Health, announced public consultations strengthening the IPP.
Consultations occurred from December 2023 to March 2024. They gathered perspectives on reform options including changing the definition of a First Nations business, ways to increase opportunities for First Nations businesses, and ensuring benefits are genuinely flowing to First Nations people.
Stakeholders raised diverse views and ideas about how to reform the IPP. They also suggested ways to improve Commonwealth procurement processes so that they provide more opportunities for First Nations business.
You can read more about the IPP Reform Consultation Outcomes Report.
Stay in touch
For more information register your interest for email updates on the changes to the IPP. You can also contact IPPReform@niaa.gov.au.