Health Canada’s struggles with procurement an ‘old story’ for Indigenous leaders

By Sonal Gupta, Local Journalism Initiative Reporter, Canada’s National Observer Internal federal documents reveal that Health Canada is seeking exemptions from the federal government’s mandatory 5 per cent Indigenous procurement target, citing Indigenous capacity gap in scientific and mental health services. Since 2021, federal departments have been obligated to award at least 5 per cent of their annual contracts to Indigenous businesses to support economic reconciliation. While Health Canada met the federal target this year, internal briefing notes obtained by Canada’s National Observer through the federal Access to Information Act reveal the department is facing supplier shortages in certain specialized areas. As a result, the department has asked for exemptions for 2025-26 that would exclude about $20 million in lab equipment, $21 million in mental health services and $8 million…

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