Enabling Indigenous Trade 2025

Page 19 of 24 · WEF_Enabling_Indigenous_Trade_2025.pdf

Supplier diversity and progressive procurement policies BOX 8 Australia: The Indigenous Procurement Policy mandates annual targets for the volume and value of contracts awarded to Indigenous businesses by the commonwealth and each portfolio. The Mandatory Set Aside (MSA) requires Indigenous businesses to be given the first opportunity to demonstrate value for money in procurements, particularly for those in remote parts of Australia and for contracts valued between A$80,000 and A$200,000 ($50,000–$125,000). Additionally, Indigenous employment and business participation targets, known as Mandatory Minimum Indigenous Participation Requirements (MMR), apply to contracts valued at A$7.5 million ($4.75 million) or more in 19 specified industries. Brazil: Brazil’s Act No. 11.947 (2009) mandates that at least 30% of the federal funds allocated to the National School Feeding Programme (PNAE), which provides meals to 49 million children across 5,568 municipalities, must be used to purchase food from family-based farms, including Indigenous communities, quilombos and beneficiaries of land redistribution programmes. Canada: Federal departments and agencies must ensure that Indigenous businesses hold at least 5% of the total value of procurement contracts. Under the USMCA, Canada has committed to maintaining its Procurement Strategy for Indigenous Business (PSIB), allowing for set-asides for Indigenous businesses within its public procurement framework.Chile: Chile’s 2003 public procurement law and Directive 17 of 2014 allow procurement processes to favour persons with disabilities, unemployed youth and Indigenous People. Chinese Taipei: The Indigenous Peoples Employment Rights Protection Act requires government contractors with more than 100 employees to ensure at least 1% of their workforce is Indigenous during the contract period. The act also mandates government-funded job training for Indigenous employees, with specifics set by the central labour authority. Companies that fail to meet the hiring requirement face penalties and must pay a fee to an Indigenous development fund. Colombia: Colombia Compra Eficiente’s Guide on Socially Responsible Public Procurement highlights the need to balance economic, environmental and social sustainability in procurement. It promotes practices that protect human rights, support local employment and ensure equal opportunities for vulnerable groups, including Indigenous People. New Zealand: The Government Procurement Rules require agencies to create opportunities for New Zealand businesses, including Māori- and Pasifika-owned businesses. Mandated agencies must award at least 8% of their annual procurement contracts to Māori businesses. The policy aims to increase supplier diversity and use government spending to achieve broader economic and social outcomes. Supply Nation to Export Nation (Australia) BOX 9 Supply Nation, a non-profit organization, collaborates with Indigenous Australian businesses and procurement teams to develop the Indigenous business sector. It uses a five-step verification process to ensure that businesses listed on the database of Indigenous businesses, Indigenous Business Direct, are Indigenous-owned and regularly audited. Beyond procurement support, Supply Nation aids Indigenous businesses in exporting through its Export Nation platform, offering resources, opportunities and an export-readiness quiz. Export Nation is exclusively available to Supply Nation- verified Indigenous businesses, helping them succeed in the global market. Land and natural resource protection Domestic laws, judicial decisions and policies play a vital role in supporting environmental objectives and upholding the rights of Indigenous Peoples as stewards of the environment, especially in trade- related contexts. This is critical in areas where mining, industrialization, agriculture and major infrastructure developments occur on or near natural resources and ecosystems that are essential to Indigenous communities and their cultural and spiritual identities. Despite often violent suppression, Indigenous efforts have led to significant domestic measures and court decisions granting legal rights to nature, including recognizing natural entities as legal persons. Their actions have garnered international support, demonstrating the profound influence that Indigenous world-views can have on global environmental and trade practices. Enabling Indigenous Trade: Actionable Guidance for Governments 19
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