SEMMA, at every opportunity, has engaged with Government at both State and Federal levels to advocate for greater Local Content and for a recognition that more than 90% of Australia’s manufacturing workers are employed by SME’s. Our submissions to government have specifically asked that contracts below the $1Million threshold be opened up to SME’s.

As a consequence, we are pleased to hear that some opening up of smaller contracts via Federal Government agencies will be addressed in amendments to the Commonwealth Procurement Rules to be revised with effect from the 14th December 2020.


The joint press release by Senator Birmingham and Senator Cash advises:

“As part of the new rules, an exemption will allow agencies to directly engage SMEs for procurements valued up to $200,000, which will reduce tendering costs …

“Many small businesses supply goods and services to the Australian Government. This change is all about providing more procurement opportunities to small businesses, so that they can grow and employ more Australians.” These changes also support the Government’s Supplier Pay On-Time or Pay Interest Policy which was updated earlier this year and includes five day payment terms for e-Invoicing.”


The full press release can be found here: New Procurement Rules to back Aussie Small Businesses | Finance Minister.

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