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German entrepreneur ventures into apple farming in Tanzania

Interview summary
At 31, German-born David Runge has cultivated a deep-seated interest in Africa's dynamic business environment. His initial engagement with the continent began through internships in Uganda and South Sudan, laying the groundwork for his future endeavors. Following his academic pursuits in agribusiness in Europe, Runge embarked on a professional journey in Nigeria, taking up a senior position at a catfish company. Reflecting on his early days in Nigeria, Runge shares, "I remember how I arrived in Nigeria and the group managing director told me within the first week: 'David, if you're able to manage operations in Nigeria; if you're able to lead a company here in Nigeria, you can do it everywhere.'" This experience, as Runge describes, was akin to obtaining a real-life MBA, underscoring the complexities and opportunities of managing operations within the Nigerian context.

After spending over two years in Nigeria, Runge's career took him to Myanmar and Dubai. However, finding himself disillusioned with his role, he decided to resign and explore new ventures. His exploratory journey through East Africa culminated in the decision to establish his next business in Tanzania, marking the beginning of a new chapter in his entrepreneurial journey.

Venturing into apple farming
David Runge's venture into the agricultural sector led him to invest in an apple farm initially founded in 2016 by two entrepreneurs who had performed research and development (R&D) to find apple varieties adaptable to equatorial climates. The opportunity to acquire this farm was first noticed by Runge's current business partner, Peter Schuurs, a family acquaintance, who then introduced Runge to the prospect.

Conducting his own due diligence, Runge recognized a robust demand for apples across the East African market. He noted, "I did my own due diligence. And [whether] if it is in Kenya, Uganda or Tanzania, at every bus stand, in traffic, people would sell apples. At every supermarket you would find apples. And they are sold here for half a dollar a piece. That's a lot money." Identifying the gap between high demand and the prevalence of imported apples, Runge saw the potential for supplying locally-grown apples to the market.

The partnership between Runge and Schuurs was formed with a clear division of labor: Schuurs would manage the agricultural operations, while Runge would focus on the business side. The acquisition and subsequent development of the farm were funded through their personal savings, amassed from their previous corporate positions. They embarked on revitalizing the farm and implementing new systems, building upon the foundational R&D conducted by the farm's original founders to cultivate apple varieties suited for the local environment.

Source: How We Made It In Africa

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