Question NW1823 to the Minister of Agriculture, Land Reform and Rural Development
22 June 2023 - NW1823
Masipa, Mr NP to ask the Minister of Agriculture, Land Reform and Rural Development
What are the relevant details of the (a) Onderstepoort Biological Products’ purchase price of vaccines from Botswana for each unit and (b) price that the specified units are being sold to the South African government?
Reply:
a) Onderstepoort Biological Products (OBP) purchases Foot and Mouth Disease (FMD) vaccine from Botswana at an average price of 1,201.73(Pula) per unit which is an average of R1563.42 in South African rands, excluding freight costs (@2,9% = R45,33), import duties (@29% = R453.33), inventory and handling costs (@3,69% = R60,44), onsite costs (@4,6% = R72,54) and transport and logistics (@32% = R501.20). The inbound-landed cost per unit, therefore, is approximately R2696,26. The unit price is volume dependent on and influenced by currency fluctuation. Price changes per order depending on these two variables.
b) OBP sells the FMD vaccine to SA Government at R3 022,21
All these depend on the total of the vaccine. OBP has not increased FMD vaccine price in the past two years.