Agriculture Minister Suspends OBP CEO Over FMD Vaccine Pricing Allegations

Agriculture Minister Willie Aucamp confirmed that the Onderstepoort Biological Products (OBP) board placed acting CEO Dr Jacob Modumo on precautionary suspension on Friday, 4 September 2026, following allegations of serious misconduct tied to foot-and-mouth disease (FMD) vaccine pricing. The board gave Modumo five days to provide reasons why he should not be formally suspended, pending an independent investigation.

Aucamp convened the urgent meeting after receiving information about the pricing allegations, according to a media statement issued on 5 September 2026. GroundUp first reported the suspension, citing the allegation that OBP bought FMD vaccines from Biogénesis Bagó at R45 per dose and sold them for between R70 and R130. This pricing claim has not been independently confirmed by a second source.

“On Friday, 4 September 2026, I convened an urgent meeting with the Board of OBP wherein I presented the Board with information of allegations of serious misconduct relating to the pricing of Foot and mouth disease (FMD) vaccines against the Acting CEO of OBP,” Aucamp said in his statement.

The minister stressed that the suspension is precautionary and does not constitute a finding of wrongdoing. He said OBP should not profit from the FMD crisis devastating farmers across the country. South Africa is battling its largest-ever FMD outbreak, which has placed intense pressure on government to secure affordable vaccine supply.

“The Minister has made it clear that the OBP should not unduly profit from the tragedy of FMD currently facing our farmers,” Aucamp’s statement read.

FMD Response SA, a body representing farmers and veterinarians affected by the outbreak, welcomed the minister’s intervention. Andrew Morphew, speaking on behalf of the organisation, said the vaccines in question were procured for the national FMD response using public funds. “This was not farmers being overcharged. This was the Department of Agriculture paying the State’s own company with taxpayer money,” Morphew said, as reported by Magic 828.

Morphew added that a July 2026 agreement had opened the way for farmers and veterinarians to buy vaccines directly rather than through a single channel. Reuters reported on 10 July 2026 that South Africa agreed to allow private procurement and administration of FMD vaccines as part of a settlement. This shift in procurement channels forms part of the backdrop against which OBP’s pricing is now under scrutiny.

According to Food For Mzansi, Aucamp said 13.5 million vaccine doses had been imported by the end of June 2026, with 10 million more expected in July and August. The minister said the suspension should not disrupt ongoing vaccination efforts or progress in containing the outbreak.

“It has been going well. If we look at the situation we are finding ourselves in, this is the biggest FMD outbreak ever experienced in the country,” Aucamp told Food For Mzansi.

The Western Cape’s agricultural sector, including livestock farmers on the Cape Flats and surrounding areas, has been directly affected by FMD outbreaks and related trade restrictions. Vaccination access and pricing remain critical concerns for the farming community, which relies on state-supported procurement during outbreaks.

It remains unknown whether Modumo will contest the suspension or when the independent investigation will commence. Cape Flats News will follow up on the outcome of the five-day notice period and any further developments from the OBP board.

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