In May 2014 the Tasmanian Government introduced their Buy Local Policy, which aims to increase opportunities for local suppliers to compete for Government business, supporting local businesses to create jobs and stimulate the economy to deliver growth. The policy contains an economic and local benefits test which, for all new tenders added 20% weighting for local suppliers. In 2020, this weighting was increased to 25% in response to COVID-19.
On Monday I was pleased to attend the announcement by the Deputy Premier, Hon. Michael Ferguson MP and Minister for Small Business, Hon. Madeleine Ogilvie MP that the 25% local weighting will be continued for another two years. The Deputy Premier also announced that in the nine months to 31 March 2022, Tasmanian businesses were awarded 86.2% of contracts valued at $50,000 or more. The total value of these contracts was $306.1 million. In a comment to the media, I suggested that State Government’s Buy Local Policy should be an example for all levels of government.
The success of the Buy Local Policy in the nine months leading to 31 March 2022 is another reminder of the importance of supporting local businesses or buying local. When someone says the words ‘buy local’ you might immediately think of business-to-consumer transactions which are of course, very important. However, business-to-business and government-to-business transactions can help local businesses thrive.
As I mentioned in a newsletter in November last year:
- If you’re sitting at your desk as you read this, take a look at the items surrounding you. By purchasing your stationery, IT equipment, or even that box of tissues next to the phone, are you supporting an American-owned company, a conglomerate with interests in hardware, groceries, and a huge chain of stores where almost all the products are manufactured overseas or the local family business that has its heart and soul right here in the community?
- If you still use business cards, letterhead, or pre-printed stationery, when it’s time to order, do you go to a certain company that’s American-owned but Irish-domiciled? Or the local business that’s been employing Launcestonians for almost a century and supports local community organisations regularly?
- When it’s time to reward staff or thank clients, is it a bulk order of gift cards from that same conglomerate that has interests in hardware, groceries, etc or do you purchase gifts or gift vouchers from local retailers, restaurants, and cafes?
If there is a product or service your organisation needs and you can’t find a local supplier, please don’t hesitate to give us a call – we’re only too happy to help.
