Australia's most prominent Indigenous music awards have been postponed amid rising cases of coronavirus in New South Wales and ongoing COVID-19 clampdowns in other states.

The National Indigenous Music Awards (NIMAs) was set to go ahead in Darwin on August 7 — with a massive line-up of First Nations artists – for the first time since the pandemic began.

But with the Northern Territory border closing to travellers from NSW at 5:00pm on Tuesday as the southern state battles to contain an outbreak of the Delta strain of the virus, organisers said "it was the best choice for all" to reschedule the event.

It is the first event from the 2021 Darwin Festival, held in August each year, to be rescheduled. 

"It's pretty sad and hectic news actually but for us and our team, we feel like it is the best decision right now," NIMA creative director Ben Graetz said.

"It's really difficult because with the NIMAs there are a lot of moving parts … and we are not able to bring them together in the way that we had wanted to.

"This ensures that, when we do put in on later in the year, that we are going to be able to bring all the artists up."

Mr Graetz said the postponement was another blow for performers around the country who had been hoping the worst of the pandemic was behind them.

"It really does take the wind out of your sails but we need to look after our community."

Mr Graetz said community support and ticket sales for the event had never been higher than this year.

"It is clear that First Nations artists have never had more to celebrate," he said.

Last year, the prestigious awards were forced to go online due to the pandemic, and for the first time simultaneously broadcast on television, radio and online.

Travel restrictions saw Northern Territory rapper and former Young Australian of the Year Baker Boy accept the Artist of the Year award via video conference from Bendigo in Victoria.

Another blow to the arts sector

Mr Graetz said holding the event later in the year would ensure performers could celebrate together and that many of their Sydney-based stakeholders could broadcast and attend the event.

"It also gives us a bit of time if things do change significantly for the worse," he said.

Organisers were gearing up for live performances from a range of talented First Nations artists including Baker Boy, Miiesha, Electric Fields, King Stingray, Alice Skye and Dallas Woods and Kee'Ahn for this year's event. 

Mr Graetz said all ticket holders would be contacted with the option to either hold onto their tickets for the rescheduled event or get a refund.

"We'll be able to provide information on that in the coming days, once we get through this first hurdle," Mr Graetz said.