Peter Gutwein

Premier of Tasmania



31 July 2020

Michael Ferguson, Minister for Finance

Further strengthening our Buy Local Policy to support Tasmanian businesses

The Tasmanian Liberal Government is committed to supporting Tasmanian businesses to thrive, hire more staff and invest in our local economy.  Our Buy Local Policy was implemented soon after we came to office and now we’re strengthening it even further to create even more opportunities for Tasmanians.

This is more important now than ever, as we recover and rebuild a stronger Tasmania post COVID-19.

That’s why we are updating our Buy Local Policy, to ensure even more Tasmanian businesses can reap the benefits.

From July 31 2020, changes to the Tasmanian Government’s procurement framework will further emphasise the importance of buying locally.

An Economic and Social Benefits Test and associated statement will replace the Local Benefits Test and Local SME Industry Impact Statement. The new test will allow for greater focus on Tasmanian social and economic factors when government agencies evaluate competitive procurements.

The Economic and Social Benefits Test will be weighted at 25 per cent of the total procurement evaluation criteria – up from 20 per cent for the previous Local Benefits Test.

The Economic and Social Benefits Statement will ask suppliers to respond to questions, including whether the supplier is:

  • A Tasmanian SME;
  • Has a Tasmanian workforce;
  • Will engage Tasmanian businesses as sub-contractors;
  • Has invested in the Tasmanian community; and
  • Will source Tasmanian produced goods and services.

To further increase opportunities for Tasmanian businesses, the Government is also raising the low value procurement threshold from $50,000 to $100,000.

Agencies have discretion to choose the method of approaching the market for procurements below this threshold, including directly approaching a supplier. For low value procurements, agencies should approach Tasmanian businesses first, where there is local capacity, capability and value for money in local offerings.

The updated Buy Local Policy and TIs will be available at www.purchasing.tas.gov.au



More Media Releases from Michael Ferguson

More Media Releases from the Minister for Finance