Supply Nation will continue to manage Indigenous Business Direct, Australia's national directory of verified Indigenous-owned businesses, and the associated business verification process, after being awarded a 12-month extension from the National Indigenous Australians Agency (NIAA).

The extension comes as the Indigenous Procurement Policy introduces stricter eligibility requirements, requiring businesses to be at least 51 per cent owned and controlled by First Nations people, or registered with the Office of the Registrar of Indigenous Corporations (ORIC).

Indigenous Business Direct currently lists more than 6,400 verified businesses across all sectors of the Australian economy.

Supply Nation said its latest State of Indigenous Business report found members spent $5.83 billion with businesses listed on the directory during the 2024-25 financial year, up $1.23 billion from the previous year and the highest level recorded.

"For more than a decade, we have worked to build and maintain a trusted verification system that gives buyers confidence and creates opportunities for Indigenous businesses to grow and succeed," Supply Nation Chief Executive Kate Russell said.

"Over the course of our stewardship, the number of verified Indigenous-owned businesses listed on the directory has grown significantly, increasing by approximately 20 per cent a year. These businesses operate across every sector of the economy, creating jobs, driving innovation and contributing to the prosperity of their communities and the nation."

The Awabakal woman said Supply Nation welcomed the opportunity presented by the tender process, noting it was "proud to deliver Indigenous Business Direct on behalf of the Australian Government".

"It is a significant responsibility that we take seriously," Ms Russell said.

"We welcome the extension of the current arrangements and look forward to demonstrating the value, integrity and impact of our work through the upcoming tender process."

The tender process comes amid growing national debate over Indigenous business certification, procurement integrity and concerns about "black cladding" within government and private sector contracting.

While the new eligibility requirements came into effect on July 1, transitional arrangements will apply throughout the 2026-27 financial year.

Businesses operating under the previous requirement of at least 50 per cent Indigenous ownership will be able to continue participating while they transition to the new requirement of at least 51 per cent Indigenous ownership and control.

In a statement to National Indigenous Times, the NIAA said Supply Nation's contract had been extended by 12 months to "continue maintaining the database of businesses satisfying the original IPP definition of a First Nations business (50 per cent or more First Nations owned)".

"This is while the Commonwealth transitions to the strengthened IPP eligibility criteria," NIAA said.

"A new verification service is expected to commence in 2026-27 and businesses will have 12 months from that date to understand the changes and arrange verification under the strengthened criteria if they choose."

In response to the announcement, the recently formed National Indigenous Business Chambers Alliance (NIBCA) said it acknowledged the decision but claimed neither they nor Indigenous Chambers of Commerce across the country were advised of the decision before it was announced, labelling it "disappointing".

Naomi Anstess, Chair of the NIBCA — who has been advocating for stronger Indigenous control and greater transparency within certification and procurement systems — said there had been "significant discussion over the past 24 months about reforming the national verification framework," with the sector anticipating the release of the tender before June 30.

Ms Anstess said the Indigenous business sector deserved "clear and timely communication about decisions that directly affect Aboriginal businesses and the organisations that represent them".

"Transparency and genuine engagement are essential if government is serious about partnering with the sector," she told National Indigenous Times.

"The forthcoming tender remains an important opportunity to shape the future of Indigenous business verification in Australia...We look forward to the tender being released and to participating in a process that is open, competitive and focused on achieving the best long-term outcomes for Aboriginal and Torres Strait Islander businesses."