Exposing 'Black Cladding': How a Multi-Billion Dollar Policy Fails Indigenous Businesses (2026)

The Indigenous Procurement Policy (IPP) was designed to empower Aboriginal and Torres Strait Islander businesses, but a dark undercurrent threatens to undermine its very purpose: black cladding. This insidious practice, where non-Indigenous entities effectively control Indigenous-owned businesses, is a growing concern that risks derailing the progress made by the IPP. In the case of Glad Indigenous, a joint venture between Scott Franks and the Glad Group, the policy's promise of empowerment was subverted by the very structure that was supposed to support it.

What makes this particularly fascinating is the paradoxical nature of black cladding. On the surface, it appears to be a straightforward business transaction, but dig deeper, and you'll find a complex web of control and manipulation. Scott Franks, the majority owner and CEO of Glad Indigenous, found himself in a situation where he was not in control of his own company. This is a stark reminder that the battle for Indigenous empowerment is not just about economic opportunities, but also about maintaining autonomy and self-determination.

In my opinion, the scale of black cladding is difficult to measure, but its impact is undeniable. Recent research from the Australian National University found that less than a third of IPP contracts went to businesses that were majority Indigenous owned. This highlights the systemic issue at play and the need for more robust measures to prevent it. The government's move to strengthen the IPP by requiring businesses to be 51% Indigenous owned and controlled is a step in the right direction, but it's not enough.

One thing that immediately stands out is the irony of the situation. The IPP was created to address the historical dispossession of Indigenous peoples, yet black cladding risks creating a new form of economic theft. It's a reminder that the fight for Indigenous rights is an ongoing struggle, and that progress is often fragile and hard-won. The government needs to take a more proactive approach to tackling black cladding, and that means holding individuals and entities accountable for their actions.

From my perspective, the solution lies in a combination of policy changes and increased awareness. The government should introduce stricter regulations and penalties for black cladding, and encourage the development of ethical business practices within the Indigenous sector. Additionally, there needs to be a greater focus on education and training to empower Indigenous entrepreneurs and ensure they have the skills and knowledge to navigate the business world. This will not only help to prevent black cladding, but also foster a more sustainable and inclusive economy.

A detail that I find especially interesting is the role of not-for-profit organizations like Supply Nation. These organizations play a crucial role in certifying Indigenous businesses and ensuring they meet the necessary standards. However, they also need to be more proactive in addressing black cladding and protecting the interests of Indigenous entrepreneurs. The government should work closely with these organizations to develop a comprehensive strategy for tackling the issue.

What this really suggests is that the battle for Indigenous empowerment is a complex and multifaceted one. It requires a combination of policy changes, increased awareness, and a commitment to ethical business practices. Only then can we hope to create a truly inclusive and equitable economy that benefits all Australians, regardless of their background or heritage.

Exposing 'Black Cladding': How a Multi-Billion Dollar Policy Fails Indigenous Businesses (2026)
Top Articles
Latest Posts
Recommended Articles
Article information

Author: Moshe Kshlerin

Last Updated:

Views: 6089

Rating: 4.7 / 5 (77 voted)

Reviews: 84% of readers found this page helpful

Author information

Name: Moshe Kshlerin

Birthday: 1994-01-25

Address: Suite 609 315 Lupita Unions, Ronnieburgh, MI 62697

Phone: +2424755286529

Job: District Education Designer

Hobby: Yoga, Gunsmithing, Singing, 3D printing, Nordic skating, Soapmaking, Juggling

Introduction: My name is Moshe Kshlerin, I am a gleaming, attractive, outstanding, pleasant, delightful, outstanding, famous person who loves writing and wants to share my knowledge and understanding with you.