OBP CEO suspended over allegations of incorrect pricing of foot-and-mouth disease vaccines
Read more
IOL
iol.co.za

OBP CEO suspended over allegations of incorrect pricing of foot-and-mouth disease vaccines

Agriculture Minister Willie Aucamp confirmed the preliminary suspension of the acting CEO of OBP following allegations of serious misconduct related to the pricing of foot-and-mouth disease vaccines amid an outbreak in South Africa.

Dr. Jacob Modumoha, who held the position of Executive Director at Onderstepoort Biological Products (OBP), was placed on temporary leave due to allegations of serious breaches concerning the cost of Foot-and-Mouth Disease (FMD) vaccines.

Aucamp stated that the suspension was initiated by the OBP Board after it held an emergency board meeting on Friday, September 4th. At this meeting, he presented the board with information pertaining to the accusations against the acting CEO of OBP.

"On Friday, September 4, 2026, I convened an urgent meeting with the OBP Board, where I presented the Board with information regarding allegations of serious misconduct related to the pricing of foot-and-mouth disease vaccines against the acting CEO of OBP," said Aucamp.

The Board subsequently notified the acting CEO of its intention to suspend him and, in accordance with OBP policy, gave him five days to explain why he should not be suspended.

Aucamp clarified that if the explanations provided are deemed insufficient, the suspension will remain in effect until the conclusion of an independent investigation into the matter.

Aucamp warns against profiting from the foot-and-mouth outbreak

The Minister emphasized that OBP must not profit unduly from the foot-and-mouth crisis currently affecting farmers.

South Africa is experiencing, according to the Minister, the largest foot-and-mouth outbreak in the country's history, which creates an additional financial burden for farmers. He noted that the government is responsible for protecting and supporting farmers by ensuring the procurement and availability of vaccines in the most economical and efficient manner.

"As a state institution, OBP is obliged to act in the public interest. Therefore, there should not be excessive markups when selling foot-and-mouth vaccines, especially when farmers are already bearing a significant financial burden from this outbreak," stated Aucamp.

He stressed that the suspension is a precautionary measure and should not be interpreted as an finding of guilt or wrongdoing on the part of the acting CEO. Aucamp added that this measure is intended to ensure the maintenance of proper governance, accountability, and due legal process within the state enterprise.

"It is important that the department, as well as all state institutions and boards under my supervision, perform their duties ethically and to the highest standard—less than that will not be tolerated, so I will maintain strict oversight of such institutions to ensure proper governance in all cases," he continued.

FMD Response SA welcomes the suspension

The organization FMD Response SA welcomed the Minister's intervention while calling for a similar independent review of the foot-and-mouth testing system in South Africa. The organization reported that the vaccine subject to the allegations was procured for national foot-and-mouth control and paid for with public funds.

A representative of FMD Response SA, Andrew Murphy, stated that the Minister's intervention demonstrated the importance of oversight. He noted: "It is not the farmers who were deceived. It was the Department of Agriculture paying its own state-owned company with taxpayer money. The Minister has now done what oversight should do, and we welcome it."

FMD Response SA reported that vaccine supplies were previously channeled through a single route, but an agreement reached in July opened up the possibility for farmers and their veterinarians to purchase the vaccine directly. The organization noted that OBP's vaccine pricing is under review, but insists that testing remains centralized in one channel.

Farmers demand independent foot-and-mouth testing

FMD Response SA pointed out that OBP and the Onderstepoort Agricultural Research Council Veterinary Institute are separate entities, but argued that a critical part of the country's foot-and-mouth control remains concentrated in one channel without external verification.

The organization explained that the ARC institute in Onderstepoort confirms outbreaks in the country, conducts foot-and-mouth testing, advises the government on vaccine selection, and produces its own foot-and-mouth vaccine for the same control effort. FMD Response SA stated that this places several critical functions within one system and demanded external verification of testing results.

Murphy stated: "No single institution should perform all these roles." He called for regular exchange of foot-and-mouth samples from South Africa with the World Reference Laboratory for Foot-and-Mouth Disease in Pirbright, UK, for independent verification. "This is not criticism of anyone. This is how trust is built," he added.

FMD Response SA emphasized that its concern is not about the integrity of any specific institution, but about the existence of an adequate mechanism for independent verification of critical aspects of foot-and-mouth control in the country. The organization stated: "No single institution should be the sole judge of the response it also provides."

Minister urges public to refrain from speculation

Aucamp stated that this issue would not be resolved through the media and urged the press and the public to refrain from conjecture while appropriate procedures are underway. He said: "This issue will not be resolved through the media. Therefore, we urge the media and the public to refrain from speculation and allow the appropriate processes to run their course until the case is concluded."

The Minister reminded that the acting CEO has not yet given his testimony nor undergone an independent investigation. He noted that the situation is in its early stages, and no further comments will be made at this time. The Minister and OBP reported that additional information will be provided when appropriate and lawful.

Foot-and-mouth vaccination program to continue

Aucamp assured stakeholders that the suspension of the acting CEO would not affect the country's current efforts to vaccinate against foot-and-mouth disease or the progress in controlling the outbreak. He appealed to the farming community not to despair over these events, but to view them as evidence of the government's commitment to the principles of good governance, accountability, and integrity in the country's foot-and-mouth control.

The Minister also encouraged farmers to continue applying for authorized status, which will allow them to vaccinate their own livestock in accordance with applicable requirements and protocols. FMD Response SA stated its readiness to cooperate with the Minister, the Department of Agriculture, state and private veterinarians, vaccine suppliers, industry bodies, and livestock producers for foot-and-mouth control and the restoration of animal health status in South Africa.

Popular