Te Puni Kōkiri and the Ministry of Business, Innovation and Employment (MBIE) are delivering a progressive procurement kaupapa to increase the diversity of government suppliers of goods and services, starting with Māori businesses.
Last updated: Thursday, 23 March 2023 | Rāpare, 23 Poutūterangi, 2023
What's on this page?
What is progressive procurement?
Government agencies are required to look beyond price to the wider social value of engaging Māori businesses. Introduced in 2020, the progressive procurement policy combines elements of social procurement, supplier diversity, indigenous procurement, and wellbeing measures.
Our joint programme with MBIE aims to spread the benefits of the Government’s $51.5 billion spend per year on procurement of goods and services to the wider community. In the first two years we engaged with over 600 Māori businesses across 25 industries. Our successful programme secured a further $26 million over two years in Budget 2022. Through this investment we are scaling up our targeted Māori business support, increasing our local networks, and working with agencies to improve procurement practices and be more inclusive
Who is this kaupapa for?
- There are almost 150 mandated government agencies that are required to implement the Progressive Procurement Policy, as part of New Zealand Government Procurement's broader outcomes.
- For the purposes of progressive procurement the definition of a Māori business is minimum 50% Māori ownership or classified by IRD as a Māori authority.
Other main features of the Progressive Procurement Policy are:
- A target of 8 percent of the total number of governments’ annual contracts are awarded to Māori businesses.
- Intermediary organisations to act as a broker, matching and connection buyers and suppliers to realise procurement opportunities. Further, to assist with verifying supplier businesses as meeting the definition of Māori business.
- Supporting sustainable, long term behavioural change of government agencies and businesses procurement practices.
- Media Release – Government target increased to keep powering up the Māori economy
- Media Release – Boosting the Māori economy through Progressive Procurement
- Procurement Case Studies
- Media Release – Government to increase supplier diversity through new procurement targets
- Cabinet Minute – Supporting the Māori Economy and Achieving Economic and Social Outcomes through Te Kupenga Hao Pauaua.
- Joint Minister’s Release – Procurement to promote jobs, Māori and Pasifika businesses and sustainability
Buyers (government agencies)
Access specific information for buyers about the progressive procurement policy, how government agencies can become match-fit to implement the policy, and where to find support.
Suppliers (Māori businesses)
Find specific information for Māori businesses wanting to learn how their business can benefit from progressive procurement opportunities, become ready to bid for government contracts, and where to go for support.
Procurement case studies
Read stories showcasing examples of progressive procurement in action between Māori businesses and government agencies here.