RICE MILL START UP

INTRODUCTION

India is one of the biggest producers of rice in the world next to China.It accounts for about 31 percent of
the area and 41 percent of the totalproduction of food grains in the country. It is a staple food of the peopl
e of the southern and Northern Western States coastal areas and hilly areas.

The crop is grown in almost all the states of the country but itscultivation is mostly concentrated in the sta
tes of Andhra Pradesh, WestBengal, Tamil Naidu Uttar Pradesh, Bihar, Orissa, Madhya Praesh, Punjab,K
aranataka and Assam which account for more than 66 per cent of the totalpaddy produced in the country.

Paddy milling industry is one of the largest agro based industries in thecountry. There are reported to be 9
1,154 ricemilling units spread throughout the country. These units process 80 percent of the paddy produc
ed inthe country. The other 20 percent is processed by traditional methods or consumed in various form.
With the introduction of high yielding varietiesthat improved economic practices, the production of paddy
is expected to beincreased in the years to come. There are still a larger number of units in thecountry usin
g the outdated technology like old hullers. The Central FoodTechnological Research Institute Mysore has
developed a technology for processing of rice to secure an improved out turn rations from paddy to rice as
uperior quality of milled products reduction of wastage, with better economic
returns to producers and processors

Rice is the staple food for almost 65% of the population in India. Paddyin its raw form cannot be consum
ed by human beings. It needs to be suitablyprocessed for obtaining rice. Rice milling is the process which
helps inremoval of hulls and barns from paddy grains to produce polished rice. Riceforms the basic prima
ry processed product obtained from paddy and this isfurther processed for obtaining various secondary an
d tertiary products.

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Objective

The main objective of every rice mill is to produce edible rice crop for sale in the market. The
rice so obtained should be free from husk and bran. It should not have stones and other pesticide.
Minimization of grain breakage should be the goal of the rice mill and it must try to maximize
whole rice recovery.

The production of rice in any state of India has shown growth in the production of rice. Rice is
being grown in an area of 5 million hectare producing 15 million tons of rice. As per the latest
strategy of rice production, high yielding variety program for producing edible rice are run. The
rice mills are operating on 3 shifts a day including harvesting and procurement process.

Executive Summary
Trice Rice Mill Production is a business that is legally registered and licensed operating in Idaho.
We were duly registered in the United States of America and have also carried out all the local
requirements needed from us here in Idaho.
The services offered by our company include milling of rice depending on the specification of
the individual client. We cater largely to producers and sometimes wholesalers because they
know what the market needs are. Other products and services that are offered by us include the
sale of the rice hull, bran layers, rice germ as well as fine broken which are all by products gotten
from milling the rice. We also provide storage facilities as well.

Due to the fact that the market is not only profitable but competitive as well, we strive to always
give quality service to our customers, this we do by listening to their requirements and also
passing along advices and tips that might best make them become better, while also listening for
suggestions to improve our business as well.

Our rice mill production business premises are in a location that is convenient for our customers
to get to as well as our employees as well.
We constantly seek for ways, by which our services can be improved, from our milling machines
and storage facilities to our customer services and even our price rates. We also do not
compromise on integrity as we adhere strictly to the company’s corporate culture at Trice Rice
Mill Production Ltd.
In increasing our customer retention, we are fully aware of the importance of loyal customers
and how they help grow the bottom line of a business. We have several strategies in place for our
loyal customers especially those who help refer new customers to Trice Rice Milling Production
Ltd.

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Our customers will also be constantly informed of changes carried out as well as receive tips
from us as we plan on seriously engaging them through our website and social media platforms,
even as we intend to deploy customer management software that will help ensure that our
customer database is up to standard.
Trice Rice Mill Production Ltd is owned and managed by two people, Mr. Godwin Kublo and
Mr. Bull John with vast knowledge in this industry and who are partners in the business.
Financing the business will be done by the two partners, with loans sourced from lending
institutions and private investors. Both partners will be actively involved in the day to day
running of the business.

Our Mission and Vision Statement

 Our vision is to become the foremost rice milling production plant in states that
have rice farms.
 Our mission is to ensure that we deploy the best milling machines in ensuring
that our customers get the best service from us.
 We also intend to provide the best customer service so that our customers not
only come back, but refer new clients to us as well, thereby giving us an edge
over our company

Goal

 To meet the Rice requirement of the customers present in the area of operation
and
 to reach 50% Rice market share in the area of operation.
 To be a pioneer for Cooperatives in the State of Chhattisgarh in the activity of
Rice
 milling as the same is negligibly undertaken by the Cooperative societies. The
 Purpose of this Study is to understand the intricacies of establishing and running
the
 Rice mill, to give the customers with not only high quality Rice and Rice products
to
 understand what it takes to be able to adapt the situations that might arise in
future
 due to change in the Life style of people and their eating habits.

Job Roles and Responsibilities

Managing Directors (Owners):

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 See to the day-to-day management of the business, which includes direction, supervision
and human resource issues; while carefully contributing to the interest of the business.
 Responsible for ensuring that contracts with business partners and clients are negotiated
in favor of the business.
 Ensuring that the agreements and obligations of the duly monitored and fulfilled
according to the practice of the business
 Responsible in ensuring that bills, payroll taxes and salaries are paid accordingly
 Responsible in ensuring the company remains afloat with a healthy bottom line
 Investment of cash assets that are short-term in nature with low credit loss risk
 Responsible in ensuring that the financial affairs as well as the accounts of the company
are up-to-date and accurate.
 Responsible for the creation of company policies, structure, vision, goals and objectives
as well as company culture
 Draft strategies that would move the company forward and also remove or modify
strategies that aren’t working well

Rice Mill Production Manager

 Oversees the staff and ensure that they follow company guidelines and policies
 Responsible for leaves and vacations
 Responsible for resolving complaints and issuing off queries
 Reports directly to the managing directors especially in matters that are above his
jurisdiction
 Responsible for ensuring that the mill runs efficiently
 Comprehends directives from the Managing Directors and translate them to those below
him as well as staff
 Evaluate employees based on their performance and progress from time to time and now
those bound for promotion
 Ensure that quality control is maintained
 Ensure that the services are meeting up to customer needs and requirement

Floor Supervisor

 Responsible for maintaining the production areas

 Coordination of daily operations on the floor of the mill by allocating tasks

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 Supervises mill workers and also responsible for their performance.

 Ensures that the mill production machines are in good working conditions, and reporting
maintenance issue to the appropriate department
 Ensures that production operations are performed in accordance with laid down standard
of the company
 Assists Manager with training requirements
 Complies with the mill security, as well as ensure that all regulations such as fire and
health are strictly adhered to

Accountant/Cashier:

 Responsible for ensuring that invoices are booked into the right account
 Responsible for reconciliation of both cash and bank statements by month end
 Ensures on-time payment of all invoices
 Ensures that cash is kept in a safe place and know the minimum and maximum level
 Carries out accounting operations that relate to cash handling
 Ensures that the correct taxes are deducted and paid

Admin and Human Resource Manager:

 Responsible for the recruitment, selection, training and development of employee

 Carries out regular performance appraisals on employees
 Responsible for employee welfare
 Responsible for employee retention and so drafts strategies that would ensure that
retention is high while also working hand in hand with the Manager
 Ensure that employees remain motivated by influencing internal and external incentives
 Maintain proper and accurate personnel files

Quality Inspector:

 Responsible for final inspection

 Corrects whatever faults are found during the milling process and ensuring that the
customer has a better finished product according to the stated requirements
 Works with manager and floor supervisor to ensure that the customers are satisfied
always

Machine Operators:

 Prepares the machine before each procedure

 Runs the machine according to standard production procedures

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 Responsible for trouble shooting light tasks such as machine breakdown that might occur
during production
 Responsible for cleaning the machines and ensuring that they are recalibrated for the next
task
 Ensures optimum efficiency of machine by monitoring the machine during procedure

 Ensures that regular maintenance is carried out

 Provides relevant information regarding machine to floor supervisor

Store Manager:

 Carries out store operational requirements

 Responsible for store staff by disciplining, coaching, monitoring as well as appraising
work ethics
 Works hand in hand with the Manager
 Ensures that store is well ventilated and clean

Machine Maintenance Workers:

 Carries out thorough cleaning of machines and its parts

 Dismantles machines for effective repairs
 Reassemble machine after repair work has been carried out
 Works hand in hand with floor supervisor
 Replace or change machine parts

Truck Driver:

 Responsible for loading and unloading of truck

 Ensures truck is kept clean at all times
 Carries out light maintenance work on truck routinely
 Works hand in hand with Manager especially when enroute a location

Security Guard:

 Ensures the facility is secure at all times

 Scrutinizes incoming and outgoing vehicles
 Submits security report regularly

SWOT Analysis

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A rice mill production business is a capital and labor intensive business, and so would require
huge sums to start up. Our awareness of this fact has created in us a resolve to ensure that the
business becomes profitable and breaks even in its second or third year. This is where our
experience comes to bear and separates us from newbie entrepreneurs that have no knowledge of
the business.

 Strength:

Trice Rice Mill Production Ltd is strategically located close to several large rice farms in Idaho,
State; the location is regarded as strength because of the convenience to several strategic
customers.
Other strengths of Trice Rice Mill Production Ltd include the offering of additional but related
services such as storage facilities, sale of milled rice by-products as well as transport facilities for
customers. We also consider our excellent and prompt customer service to be a strength as it
offers us a competitive advantage

 Weakness:
Our perceived weakness stems from the fact that we seem to be operating regionally, as it could
take a while for us to be seen as a national business instead of a regional business.

 Opportunities:

Without an iota of doubt there are loads of opportunities in Idaho. The market is a very big one and we
would also have the opportunity to market our good to other parts of the United States of America as
well as other parts of the world. Our nearness to the big market will be of great advantage while also
work critically at converting potential consumers to actual clients.

 Threat:

There are several threats that face every business and this is the downturn of the economy as well
as the arrival of close competitors to the market.

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MARKET ANALYSIS

Market Trends
The fact that more rice farms are springing up locally has seen more rice mills spring up all over
the country to be able to meet the demands of the rice farm owners. This has made the business
become more competitive as rice mills strive to leverage on every competitive advantage chief of
which is offering additional but related services as well as continually improving on its customer
service.
Another trend is to open more storage facilities across different locations, this way customers
that are far from the mills do not have to worry about having their products stored so far away.
This is a competitive edge over most rice mill production businesses.

Our Target Market

In carrying out a thorough research, we were able to site our business in Idaho due to the various
rice farms in the state. The location also brings us in close proximity to other states within the
region where there are several rice farms as well.
The location will be of immense benefit to rice farm owners as well as wholesalers who get their
unmilled rice from other regions; thereby allowing them to quickly cater to the teeming
customers that abide.

Our competitive advantage

From thorough research and due to the profit viability of this business, several rice mill
production businesses have sprung up not only in Idaho but in other regions that are close to
offer a stiff competition as well. Idaho has various rice milling production plants as well as
several others in other states that are close to it.
One of our competitive advantages is in ensuring that we are strategically located. Our
production plant is not only located close to good roads, making it easier for our customers to
reach us, but our storage facilities which are spread all over also located in strategic points
enabling us to not only attract but retain customers as well.
Another competitive advantage we have is the vast combined experience of the owners who have
not only brought this in to bear on the business but have also given them an edge in being
proactive in the market by ensuring that unique solutions are given for every challenge and
obstacle that arise during the course of running the business.

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SALES AND MARKETING STRATEGY

 Sources of Income

Like every other business, Trice Rice Mill Production was established with the intention of
making profit, in the agro-allied industry. This means that generation of income via several
sources is our top priority, and this would be done via our main service as well as other
additional but related services that we would be offering as well.
We intend to generate income by offering the following services listed below;

 Rice Milling
 Sale of milled rice by-products such as rice hull, bran layers, rice germ and fine broken
 Transport facilities
 Storage facilities

state wise productivity analysis

Rice is grown in Karnataka in 27 districts. Out of which 14 districts are under high
productivity group (yield more than 2,500 Kg/ha). Triennium average area of high productivity
group comprising of 14 districts was 7.86 lakh hectares, which was 54.1% of triennium average
area (14.51 lakh hectares) under rice in the state. Triennium average production was 23.73 lakh
tonnes which was 64.9% of triennium average production (36.58 lakh tonnes ) of rice in the
state. Triennium average productivity of high productivity group comprising of 14 districts was
3,019 kg/ha as against 2,521 kg/ha triennium average productivity of the state.
Triennium average area of medium productivity group (yield ranging between 2,000-2,500
kg/ha) comprising of 5 districts was 2.48 lakh hectares, which was 17.1% of triennium average
area (14.51 lakh hectares) under rice in the state. Triennium average production was 5.73 lakh
tonnes, which was 15.7% of triennium average production (36.58 lakh tonnes) of the state.
Triennium average productivity of medium productivity group comprising of 5 districts was
2,310 kg/ha as against 2,521 kg/ha triennium average productivity of the state.
Triennium average area of medium-low productivity group (yield 1,500-2,000 kg/ha)
comprising of 6 districts was 3.68 lakh hectares, which was 25.4% of triennium average area
(14.51 lakh hectares) under rice in the state. Triennium average production was 6.60 lakh tonnes,
which was 18% of triennium average production (36.58 lakh tonnes) of the state. Triennium
average productivity of medium-low productivity group comprising of six districts was 1,793
kg/ha as against 2,521 kg/ha triennium average productivity of the state.

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Business plan for Rice mill

How to Start a Rice MillingBusiness

As the highest source of nourishment for over half the world's population, rice is by far one of
the most essential commercial food crops. Its yearly yield worldwide is approximately 535
million tons. Fifty countries yield rice, with China and India they are supportive 50% of total
production. Southeast Asian countries independently support an annual production rate of 9-23
million metric tons of which they export very little. Collectively, they are categorizing the Rice
Bowl. Over 300 million acres of Asian land is cast-off for growing rice. Rice production is so
main essential to Asian cultures that oftentimes the word for rice in a specific Asian language
also means food itself.

Do you live in one of the countries where rice is widely consumed? Are you looking for
profitable business to do? Are you interested in starting a rice milling business? Do you need a
rice milling business plan? If you answered YES to any of the questions above, please read this
article and the steps discuss will help you put your rice milling business plan into reality.

What is rice milling?

Rice milling is a step in the post production of rice that involves the removal of husk and bran
layers, which produce white rice that can be edible free of impurities.
The rice paddy comprises of about 20% of husk and 11% bran layers, which leaves you with
about 69% edible white rice free from impurities.
It Include:

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 Paddy Cleaing
 Paddy Drying (if needed)
 Rice Hulling
 Paddy Separating
 Rice Milling
 Rice Grading
 Rice Polishing
 Rice Color Sorting
 Rice Packing

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What is The Process of Starting a Rice Milling Business?

1. Acquire the required knowledge

Before you start a rice milling business, it is important that you need to have a good knowledge
of the rice milling business and you should find any rice mill around you and have a feel of the
processes involved in rice milling. Apart from the general entrepreneurial skills that you will
need to operate the business, you need to acquire other skills that may be specifically related to
rice mill business. You may not get this kind of skills from schools. The best way to acquire the
skills is to work directly with somebody who is successful in rice mill business. You should also
find out the costs of starting the business as well the costs of running the business after launch.
Find out the equipment and manpower required. Find out about the pitfalls and challenges that
new entrants into the business will most likely face. And find out how to avoid the pitfalls and
overcome the challenges.

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2.Write a rice milling business plan?

By now, you should have known a lot about rice mill and the things you need to run the business.
It’s now the stage where you need to put everything into a business plan.
Developing a business plan for your rice milling business is very important, as it will guide you
through the process of starting the business successfully and running it effectively afterwards.
Your business plan will also come in handy when you approach investors or lenders to fund your
business.
Your business plan will detail your business’s goals and objectives, required startup and running
costs, projected earnings over the first few years, required staff, your target market and a
thorough analysis of that market, the competition, your marketing strategy and unique selling
point, and your exit strategy. The rice milling business plan is what will keep you on track when
you want to deviate from the business goals. It also is another document that you can use to
attract investors.

3.Obtain the necessary licenses and permits

In virtually all parts of the world, obtaining licenses and business permits is a requirement for
starting any business. However, the required licenses and permits vary between states and
countries.
So I advice that you visit the appropriate agency in your state or country to inquire about the
licenses and permits you will need to obtain before you can start your rice milling business.
Better yet, visit the agency’s website or contact a seasoned attorney to find out.

4.Find a good location

Choice of location has a big role to plan in the success of a rice mill business.
Essentially, a rice mill business should be located very close to where rice is grown.
You need a place that is easily accessible to farmers. They should be able to transport
the rice produce to your place without much trouble. You need a large space where the
farmers can drop their harvests. Also, you need storage place where the milled rice can
be kept. The layout of the rice mill should allow free movement of people and should be
very ventilated.

5. Buy the equipment

According to the size of the rice mill processing plant, there is the different type of
machinery available in the market; you need to choose the right machinery for your rice
mill plant.
The important factor is cone slider while selecting the machinery are production

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rate, efficiency, capacity, and power equipment; also consider the execution, whether
the machine is a single stage or multi-stage.

· Grain Storage Silos

· Grain Dryer
· Rice Cleaner Machine
· Rice Destoner Machine
· Rice Color Sorter in
· Rice Huller Machine
· Rice Milling Machine
· Rice Separating Machine
· Rice Polishing Machine
· Rice Grading Machine
· Rice Packing Machine

Most of the equipment are durable and stands the test of time.
Some of the equipment can be fabricated. The fabricated one will be less expensive
compared to the real one.
Note that you’ll need to be sure that the fabricated machine will do the work it was
meant to be else, you’ll only waste your money.

6.Install the equipment

By now your rice milling machines have arrived. It’s time to start installing them. The
services of an expert will be required in other for the installation to be successful.
Most often the company that sells the machines will always have an expert that will do
the work for you. You’ll only need to ask them.

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7.Hire employees and start operations

It’s time to hire people who will help in running the business. In rice milling business one important
factor to consider when hiring people is their experience. Each person you hired can be given a
defined role that will ensure the process of rice mill works in an effective way.
This will ease the stress going through the process of training before kicking the work.
It’s important to hire both technicians and administrators. The technicians are responsible for
operating and maintenance of the machines. While the administrators do the paperwork on a daily
basis.

8. Find Buyers
It is supreme important part in any export business that how to find potential buyers in
the international market? Some guidelines for discovery potential buyers are through
communicating your relatives in that country, export trade fairs and expos, through
online portal, etc.

Zhengzhou VOS Machinery Equipment Co., Ltd. Was established in the year 2000, it is
a professional manufacturer and exporter of rice mill machine, rice processing
machines, rice mill plant, rice mill production line, and parboiled rice mill plant. We can
provide unique overall layout design of rice milling machine production line,
customized rice milling machine products and installation services according to different
needs of customers and site conditions. It integrates technology, manufacturing and
sales together.

Rice Mill Manufacturing Process

Preparation
Moving to planting, preparation of cultivation requires minimal soil manipulation. If rice will be
grown in a hilly area, the area should be kept on roofs. Paddies are dodged and surrounded by
dikes or levees with an aide of earth-moving equipment, then plowed fields before planting.
Suitable irrigation of the terrace or river delta bed is mandatory and pumping is accomplished by
controlling and leveling the water with reservoirs, sutures, and streams.

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Planting
Rice seeds get wet before sowing. For the level of mechanization and the size of planting,
provisional, seeding is done in three ways. In many Asian countries that have not industrialized
their agricultural practices, seeds are sown by hand. After 30–50 days of development,
transplanting is done from nursery beds into clusters of flooded trees. Seeds can also be sown
through a machine called a drill that places the seed into the ground. Large enterprises often sow
rice seeds in the United States by airplane. Low-flying aircraft deliver seeds to already flooded
fields. An average supply is 90–100 pounds per acre (101–111 kg per hectare), producing about
15–30 plants per square foot

Harvesting Of RICE IN INDIA

Once the plants have touched full growth (about three months after planting) and the grains
begin to ripen – the tops begin to dry and the stem turns yellow – the water drains from the
fields. As the fields dry up, the grain ripens more and harvesting begins. It depends on the size of
the setup and the amount of mechanization, Rice is also harvested by hand or machine.
Through the hand, the rice stalk is replaced with a sharp knife or sickle. This practice still occurs
in many Asian countries. Rice can also be harvested by a mechanized hand harvester or a tractor
/ horse-drawn machine that cuts and steals rice stalks. If the rice has been harvested by hand or
by a semi-automated process, the thrush is terminated by hand or using a mechanized thresher.

Drying

First milling, rice grains should be dried between 18-22% to reduce the moisture
content. This is done with the help of naturally occurring sunlight, hot air, or more
frequently. Rice grains are left on racks in the fields to dehydrate naturally. Once
dried, the grain of rice, now called coarse rice, is ready for processing.

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PloUGHING oF Rice

The plow can be completed by hand by rolling or grinding rough rice between
stones. However, more often it is processed in a mill with the help of automated
processes. Rough rice is first cleaned, allowing debris to flow. The blown air
extracts the top substance. Once cleaned, the rice is stirred by a machine that
mimics the action of hand-made stones. The shelling machine rolls the rice hulls
between two sheets of metal and decomposes them. During this process, 80–90%
of the kernel hull is removed.

With the shelling machine, the grain and the rudder are transported to a stone reel
which aspirates the waste mites and moves the kernels into a machine that
separates from the thin grains. After shaking the kernels, the paddy machine
services heavy unhealthy grains on one side of the machine, while light-weight rice
falls to the other end. Unhealthy grains are then squeezed into additional batches of
shelling machines to complete the stirring process. Thin rice grains are known as
brown rice.
Milling
As it retains the outer bran coating of rice grains, brown rice does not require any
other processing. However, with additional vitamins and minerals, bran layers also
contain oil that spoils brown rice faster than melted white rice. This is the reason
why brown rice is pushed forward to make white rice more visual.

Enrichment
The milling method used to make white rice removes vitamins and minerals
mainly found in the outer bran layers. Further handling is often performed to bring
nutrients back to the grain. Once complete, the rice is called converted rice.
White rice is converted into one of two methods. Before milling, Rice is immersed
under pressure to transfer all the vitamins and minerals from the layers of the bran
to the kernel Once done, the rice is boiled, dried, and then mixed. Rice that has
already been mixed can be included in bathing vitamins and minerals that coat the
grains. When soaked, they are dried and mixed with uncooked rice. A project
report is essential to understand the process of rice manufacturing. So you must
download the project report of the rice mill. You can also start flattened rice poha
business in the rice Mill as extra product production.
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SUGGESTIONS
 Brochure preparation and website lounching.
 Training to unit workers in the field of TOQ ISO 9000 etc.
 Interaction of the industry with other rice miller associations for the
information exchange and the fixation of salaries and wages.
 Updating of technology for the automation of operator should done annuly
 Learning from the existing market leaders of the industry is impartant.

CONCLUSION

This business plan sample has made available a rice farming business plan sample, targeting
specifically entrepreneurs with little to no experience in writing a good business plan. This
sample provides the necessary guidance, and although it can be used as a guideline, the contents
should solely consist of the farmers/entrepreneur’s unique business realities.

REFERENCES
 "Home". gpsricemill.com. Retrieved 2020-05-02.

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