It is crucial to adhere to Amazon’s preparation, packaging, labelling, and delivery guidelines to ensure a smooth shipping experience. These guidelines are designed to maintain the quality and consistency of products within the Amazon ecosystem. If you want to know more about how to ship to Amazon FBA, then continue reading this blog.

Steps to Follow

Once you have decided to utilise Amazon FBA for your shipping needs, there are several vital steps to follow.

• The first step is to create a shipping plan within your merchant account on Amazon. It involves providing details about the products you will be shipping, including the quantity, condition, and fulfilment centre to which you want them sent. Amazon provides a step-by-step guide to help you through the process.
• After creating the shipping plan, the next crucial step is selecting a reliable and experienced forwarder. Choosing a forwarder familiar with Amazon’s specific shipping requirements is essential. They should thoroughly understand packaging guidelines, labelling requirements, and the documentation for shipping to Amazon FBA centres. Compliance is key when shipping to Amazon fullfillment centres.
• Once you have chosen a forwarder, you can proceed with arranging the delivery of your products to the designated FBA warehouse in the USA. Your forwarder will handle the logistics, including organizing transportation, ensuring proper packaging, and coordinating delivery. Unicargo owns and operates strategic warehouses in the US. UK, India, China and Germany to facilitate the transition from the port to the warehouses and then to Amazon’s warehouses.  We also own and operate our trucking company (in the U.S.) which enebales us to act quick and transport the goods more efficiently.

Make a Shipping Plan

When creating a shipping plan, specify the products you intend to send to Amazon warehouses. You can choose between selling “individual products” or “jointly packaged products.” If you opt for “individual items,” you will send packages containing one or more products with varying quantities and conditions.

On the other hand, selecting “case-packed products” implies that you are shipping products with the same SKU (unique product identifier). In this scenario, each shipment will have the same number of products.

After choosing the appropriate option, you should proceed with the following steps:

• Determine the quantity for each product you plan to ship.
• Prepare the products according to the guidelines provided, considering the specific requirements based on the product type.
• Print the necessary labels, including barcodes or other product identifiers required by Amazon. The physical size of label is crucial as well.
• Double-check and confirm the details of your package shipping to Amazon FBA in the USA to ensure accuracy and completeness.
• Choose a suitable shipping method that aligns with your needs and budget. You may consider factors such as cost, speed, and reliability.
• Summarise the entire shipping process, and keep in mind that you can monitor the shipment’s progress as it is sent to Amazon FBA in the USA.

Role of Forwarder

Utilizing the services of a forwarder plays a significant role in the process of shipping to Amazon FBA. Transporting goods to Amazon can be a time-consuming and complex task, especially for those needing prior experience in freight forwarding. Therefore, finding a suitable forwarding company specializing in this type of shipment is highly recommended.

By partnering with a competent forwarder, such as the ShipHub platform mentioned, you can save valuable time and streamline the shipping process. These forwarders have the necessary expertise and knowledge to navigate the intricacies of shipping to Amazon FBA.

A reliable forwarder will coordinate each shipment stage, including organizing transportation, handling documentation and customs requirements, and ensuring compliance with Amazon’s shipping guidelines. They have experience working with Amazon FBA and understand the specific requirements for delivering goods to FBA centres.

Choosing a forwarder that is well-versed in FBA shipping can bring numerous benefits. They are familiar with Amazon’s procedures, packaging guidelines, labelling requirements, and other necessary details to deliver your products to the designated fulfilment centres successfully.

Ultimately, partnering with a reputable forwarder that understands the nuances of shipping to FBA can alleviate the stress and complexities associated with the process. It allows you to focus on your core business while entrusting the logistics and shipping aspects to professionals specializing in freight forwarding to Amazon FBA.  Unicargo was one of the First freight & logistics companies that serviced clients shipping to Amazon and has the most experienced and knowledgeable teams working with Amazon FBA clients.

Tasks of a Freight Forwarder

The primary tasks of a freight forwarder when shipping to Amazon FBA warehouses  include the following:

1. Checking the Goods for Damage: The products will be inspected by the forwarder to make sure they are in good shape and ready for shipping. It helps prevent any potential issues or damages during transportation.

2. Ensuring Packaging Compliance: The forwarder will verify that the goods are packaged according to Amazon’s requirements. It includes using appropriate packaging materials, labelling, and securing the products to prevent damage during transit.

3. Adhering to Labeling Rules: The forwarder will ensure the goods are properly labelled following Amazon’s labelling guidelines. It includes applying scannable barcodes or labels that comply with Amazon’s inventory tracking system.

4. Proper Palletizing: If necessary, the forwarder will correctly pack the goods on pallets, ensuring they are securely stacked and stable for transportation. It helps protect the goods during handling and prevents any potential damage.

5. Arranging Delivery Date: The forwarder will coordinate with the appropriate transportation service providers to schedule a delivery date that aligns with Amazon’s requirements and the seller’s preferences.6. Transporting Goods to the FBA Center or a 3pl: The forwarder will handle the logistics of transporting the goods from the origin point to the designated Amazon FBA order processing centre. It includes selecting the appropriate shipping method and ensuring timely delivery.

Receiving Shipment

Once Amazon receives the shipment, they will assign the products to the appropriate FBA Center. Within three business days, the products should be available for sale on the Amazon platform.

As a seller, you can easily monitor and track the progress of your shipment through your Amazon merchant account. It allows you to stay updated on the status of your inventory and ensure that everything is progressing as expected. Amazon provides tools and features to help sellers understand how to ship to Amazon FBA and keep a close eye on their shipments, providing transparency and peace of mind throughout the process.

A trusted freight forwarder will also monitor the goods until they arrive to its final destination and will communicate properly, owning the entire customer journey!

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In today’s fast-paced world of logistics and shipping, businesses are constantly searching for ways to optimize their supply chains, reduce costs, and improve overall efficiency. One strategy that has gained prominence in recent years is freight consolidation. This approach to shipping offers significant benefits for companies of all sizes, helping them streamline their operations and reduce expenses.

Let’s talk about something pretty cool – “Consolidated Shipping.” It’s a method of shipping that’s all about combining smaller shipments from different shippers into one full container shipment. So, instead of each shipper sending their goods separately, they join forces to share the container space.  As a global leader in freight & logistics, Unicargo’s freight consolidation services take a big part of what we do. With our customer-centric approach and obsession to maximize operational efficiency for our customers, we feel confident in being your partner and helping you maximize your supply chain operations.

We will explore the ins and outs of freight consolidation services, the advantages they offer, and how you can implement them to boost your business’s bottom line. 

Table of Contents

1. Introduction to Freight Consolidation Services
2. The Basics: What Is Freight Consolidation?
3. Benefits of Freight Consolidation Services
4. What is Consolidated Shipping and How Can Shippers Reap Its Benefits?
5. Improved Supply Chain Management
6. Why Choose Unicargo?
7. Conclusion

1. Introduction to Freight Consolidation Services

In an ever-evolving logistics landscape, efficiency and cost-effectiveness are paramount. Freight consolidation services have emerged as a crucial strategy for businesses looking to optimize their shipping processes and stay competitive. By consolidating shipments from multiple sources into a single, more efficient load, companies can achieve significant cost savings and operational improvements.

2. The Basics: What Is Freight Consolidation?

At its core, freight consolidation is a logistics practice that involves combining multiple smaller shipments into a single, larger shipment. This consolidated shipment is then transported to its destination, resulting in several key benefits:

Reduced Shipping Costs: One of the most significant advantages of freight consolidation is the cost savings. By grouping shipments together, companies can significantly reduce transportation expenses.

Lower Handling Costs: Handling and processing multiple smaller shipments can be more labor-intensive and costly than managing a single, consolidated load.

Optimized Routes: Freight consolidation often involves careful route planning to ensure that shipments are delivered in the most efficient and cost-effective manner.

3. Benefits of Freight Consolidation

Freight consolidation presents a plethora of benefits for businesses engaged in the transportation and distribution of goods. Firstly, it brings about substantial cost savings. By amalgamating multiple shipments into a single unit, companies can secure more favorable rates from carriers and streamline their transportation costs. Moreover, the process curtails the requirement for numerous handlings, thus lowering the chances of product damage during transfers. It also bolsters inventory management by reducing stock levels and expediting order fulfilment. Beyond these advantages, consolidation contributes to environmental sustainability by curbing greenhouse gas emissions through a reduction in the number of individual shipments and optimized fuel usage.

Let’s delve deeper into the advantages of utilizing freight consolidation services for your business:

3.1 Cost Savings

Reducing shipping costs is a top priority for businesses. Freight consolidation achieves this by minimizing the number of shipments, which in turn, reduces transportation expenses, fuel consumption, and labor costs.

3.2 Improved Efficiency

Efficiency is a key factor in today’s competitive market. Freight consolidation enhances operational efficiency by streamlining the shipping process, reducing transit times, and enhancing inventory management.

3.3 Environmental Benefits

As the world becomes increasingly focused on sustainability, freight consolidation can play a role in reducing a company’s carbon footprint. Fewer shipments mean less energy consumption and lower emissions.

3.4 Enhanced Customer Service

Shorter delivery times, fewer errors, and improved inventory management can lead to higher customer satisfaction.

3.5 Scalability

Freight consolidation services are flexible and can adapt to the changing needs of your business. Whether you’re shipping a small batch of products or a larger volume, consolidation can be tailored to your requirements.

What is Consolidated Shipping and How Can Shippers Reap Its Benefits?

Partial shipments or those that don’t fully utilize cargo capacity are a common occurrence within supply chains. Aside from relying on specialized carriers, there exists an alternative that offers potential cost savings and enhanced efficiency: consolidated shipping.

Consolidated shipping is a shipping method wherein a consolidator amalgamates individual Less than Container Load (LCL) shipments from various shippers into a single full container shipment. Shippers who opt for consolidated shipping can secure preferred rates. Upon reaching the destination, the shipments are then disassembled into their original LCL shipments.

4.1 LCL – Less than container load (LCL)

Less than container load (LCL), also known as Less than Truckload (LTL), pertains to shipments that lack the mass to fill an entire container. These shipments are priced based on volume and are merged to fit within full containers. LCL shipments are a common feature of supply chains. On the other hand,

4.2 Full Container Load (FCL)

Full Container Load (FCL) pertains to shipments with sufficient mass to necessitate an entire container. Typically, FCL shipments are charged at a flat rate per container and are loaded and sealed at the origin by the supplier or manufacturer.

4.3 Cross-Docking

Cross-docking is a method where goods are received, sorted, and immediately shipped out with little to no storage in between. It’s a rapid and efficient form of consolidation often used in retail supply chains.

4.4 Vendor Consolidation

This approach focuses on consolidating shipments from various suppliers, making it an ideal solution for businesses with complex supply chains.

Benefits of Consolidated Shipping

Cost Savings: Often, shippers only occupy a fraction of a trailer’s space but are required to pay for the entire capacity. Consolidation services aggregate multiple LTL shipments heading to similar destinations into a full truckload, ensuring that shippers pay solely for the space their cargo occupies.

Reduced Risk of Damage: Unlike LTL, which involves a hub-and-spoke distribution approach with multiple handling points, consolidation employs a model that significantly reduces the handling of goods as they move from shipper to consolidation center to receiver/consignee. Fewer touchpoints mean less opportunity for product damage.

Expedited Delivery: A consolidation strategy can expedite the delivery of your cargo according to your schedule. Providers with substantial freight volumes can implement plans that optimize truck space usage and lead to quicker transportation and delivery.”

6. Improved Supply Chain Management

Implementing freight consolidation can streamline supply chain management in various ways. By centralizing shipments, companies gain better control over their inventory and achieve more accurate demand forecasting. This enables improved planning, reducing stockouts and overstocking situations. Consolidation can also facilitate leaner distribution networks by eliminating redundant routes and optimizing delivery schedules. With fewer shipments to manage, companies can allocate their resources more efficiently, and optimize their ongoing operations.

Furthermore, freight consolidation promotes collaboration between shippers, carriers, and logistics providers. This collaborative approach fosters better communication, information sharing, and joint problem-solving, ultimately enhancing overall supply chain visibility and efficiency.

Possessing years of experience in global freight and logistics, Unicargo has helped numerous customers and partners, from small “Mom and Pap” businesses to SMBs and large Aggregators manage their freight operations successfully while solving every challenge along the journey.

Why Choose Unicargo and How You Can Benefit From It ..

1. Extensive Global Network: With our extensive network of trusted carriers and partners worldwide, we can seamlessly consolidate your shipments from multiple origins into one streamlined delivery. Whether it’s air, ocean, or land transportation, we have the expertise and resources to handle it all under one roof and take full ownership of the process, from ‘Quote’ to ‘Final Delivery.’
   
2. Cost Efficiency: You can significantly reduce transportation costs by consolidating your shipments. Unicargo leverages our strong relationships with carriers to negotiate competitive rates, ensuring that you benefit from cost savings without compromising on service quality.
   
3. Time Savings: Our efficient freight consolidation process and quick turn-around to inquiries, eliminate the need for managing multiple shipments individually. We handle the logistics, paperwork, and coordination, allowing you to focus on your core business activities. With faster transit times and improved delivery schedules, you can optimize your overall operational efficiency.
   
4. Customized Solutions: At Unicargo, we understand that every business has unique requirements. Our dedicated team works closely with you to develop customized freight consolidation solutions tailored to your specific needs. Whether you require regular consolidation services or have special project requirements, we have the flexibility and expertise to deliver optimal results.
   
5. Transparency and Visibility: We prioritize clear and efficient communication and provide real-time visibility into your shipments, through our Digital Platform, where you can track every step and segment of your shipment from anywhere you have an internet connection. The peace of mind and informed decision-making are paramount to both Unicargo and it’s customers.
   

How We Do It

Our freight consolidation process is straightforward yet highly effective. We aggregate your shipments from various sources and merge them into a well-organized, efficient single shipment. Our logistics experts then plan optimal routes, maximizing delivery speed and minimizing costs. Each shipment is different from one another and it’s important to assess each one and tailor the right type of consolidation to maximize savings and efficiency!

Conclusion

By opting for freight consolidation services, businesses have an opportunity to optimize container capacity, potentially resulting in improved cost-efficiency and streamlined operations. This strategic shipping solution empowers shippers to make the most of available resources while enjoying the advantages of preferred rates. Considering the benefits it offers, freight consolidation services are an option worth exploring for those seeking enhanced logistics performance.

Partner with Unicargo Today! Unlock the benefits of freight consolidation services with us. Simplify your supply chain, reduce costs, and enhance efficiency by entrusting your shipments to our reliable and experienced team.

The post Elevate Your Logistics with Our Freight Consolidation Services appeared first on Unicargo.

What is a shipment’s commercial invoice?

Your shipment’s commercial invoice is part of the documentation you need to supply to make a customs declaration when importing goods to the USA. It shows the number of products you are shipping, as well as their value.

What is shown on a commercial invoice?

• The name and address of the supplier or manufacturer of the goods.
• The name and address of the company or individual who is buying the goods contained within the shipment, detailing whether or not this person is also the importer.
• The name and address of the company or individual that the goods in the shipment are being sent to.
• The shipment’s country of origin – where the goods in the shipment were manufactured.
• The number of individual items of each different type of product in the shipment.
• A short, detailed description of each product, which tells customs officers what the product is, what it is made from, and what it is used for or intended for. For instance, just describing a product as a child’s toy is not enough – a better description would be “plastic building brick toys for children aged 4-7.” The item’s SKU itself is not counted as a product description.
• The value (per unit) of each product in the shipment. This information should be supplied in both US dollars, and the currency used by the initial supplier or originator. Every item in the shipment must have a stated value – so you cannot indicate a value of zero for the purposes of clearing customs. If you aren’t paying for the goods within the shipment for any reason, use the average market value for each product instead.

What is a shipment’s packing list?

A packing list is used as part of a customs declaration to document the number of items within your shipment, along with their dimensions and weight, and the number of cartons that the goods are shipped in.

Both the commercial invoice and the packing list make up an important part of your customs declaration, and it is important that the information used on each of these documents matches the other – for example, when it comes to the number of items of each type of product within the order.

If you aren’t quite sure how to create or fill in your packing list or commercial invoice, get in touch with us and we’ll help you out.

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Each of the different Incoterms provides a framework that outlines whether the buyer or seller of a shipment is responsible for its handling and costs at each stage of the shipping process. This helps to avoid misunderstandings between people who may speak different languages, or have different local customs and working practices.

The word “Incoterms” stands for “International Commercial Terms,” and the Incoterms framework is managed and updated when necessary by the International Chamber of Commerce.

Knowing the meaning of each individual Incoterm is important for anyone importing or exporting goods internationally, and will enable you to compare the costs involved for shipments offered by different sellers and make the right choice.

The set of Incoterms in current use is called Incoterms 2010, and we’ll provide a short explanation of each of the eleven Incoterms that make up the Incoterms 2010 framework below.

EXW or Ex Works

EXW or “Ex Works” requires the originator or seller of the goods to make them available for collection by the buyer at a named place – usually the seller’s own premises, like a warehouse or factory.

The buyer is responsible for collecting the goods and arranging their onwards transit. This Incoterm places the minimum responsibility on the seller or originator, and the maximum responsibility on the buyer.

FCA or Free Carrier

FCA or “Free Carrier” requires the seller or originator of the goods to clear them for export and deliver them to a named place provided by the buyer.

If this named place is controlled by the seller, they are responsible for loading and unloading. If the named place is not controlled by the seller (such as the buyer’s own premises or another place of their choosing) loading and unloading is the responsibility of the buyer.

FAS or Free Alongside Ship

The FAS or “Free Alongside Ship” Incoterm applies to water shipments only. FAS makes the seller responsible for clearing the goods in the shipment for export and delivering them alongside of the buyer’s chosen ship at a named port.

As soon as delivery alongside has been completed, all responsibility passes to the buyer.

FOB or Free on Board

Like FAS, FOB or “Free on Board” applies to water shipments only. However, there is an exception to this in the USA (and certain other common law countries) that means that FOB can be applied to any method of inland transport, not just water freight.

This Incoterm makes the seller responsible for the risks and costs associated with every stage of the process up to and including loading the goods onto the ship. When the goods are “clearly set aside or otherwise identified as the contract goods” or “appropriated to the contract,” the seller’s responsibilities end, and pass over to the buyer.

CFR or Cost and Freight

CFR or “Cost and Freight” is another Incoterm that can be used for shipment by water. CFR places the responsibility for getting the shipment to its port of departure on the seller, as well as the cost of onward transport to its destination port.

However, while the cost of transport to the destination port falls to the seller, the risk passes to the buyer at the point that the goods have been loaded onto the ship – and the seller is not under obligation to insure the shipment.

CIF or Cost, Insurance and Freight

The CIF or “Cost, Insurance and Freight” Incoterm is very similar to CFR, with one exception – the seller or originator of the goods must insure the goods to their port of destination at 110% of their contract value.

CPT or Carriage Paid (To)

CPT or “Carriage Paid To” makes the seller or originator of the goods responsible for paying for their carriage (including customs clearance fees) to a named destination. However, as soon as the goods pass into the hands of the carrier, the risk for the shipment pass to the buyer.

CIP or Carriage and Insurance Paid (To)

CIP or “Carriage and Insurance Paid To” is similar to CPT, with the exception that the originator or seller must insure the goods for their journey at a rate of 110% of their contract value.

DAT or Delivered at Terminal

DAT or “Delivered at Terminal” makes the seller or originator responsible for delivering and unloading the goods at a named terminal. This includes covering all associated fees for transit, export, and everything else, as well as holding the risk.

After the goods are unloaded risk and responsibility falls to the buyer, including covering import duties and customs fees.

DAP or Delivered at Place

DAP or “Delivered at Place” places the risk and cost with the seller up until the point that they make the goods available to the buyer at their named destination. This includes covering any delay or demurrage charges.

The buyer then takes on the risk and responsibility for the shipment from the point of unloading onwards, including covering customs and import duties.

DDP or Delivered Duty Paid

DDP or “Delivered Duty Paid” makes the seller or originator responsible for delivering the goods and paying all associated costs (including taxes, customs fees, and shipping) to a named place in the buyer’s destination country.

Risk and responsibility only passes to the buyer once the goods are safely delivered to their destination.

Knowing which Incoterm to choose can be confusing if you’re new to the business. We can help you to decide on the best Incoterm to use for your shipments and advise you on comparing the costs and risks involved for each different option. Contact us now for advice and guidance.

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All commercial imports to the USA must be covered by a formal customs bond in order to clear customs at their destination port.

Different types of customs bonds

There are two different types of customs bonds used in the USA:

• Single-entry bonds, which are good for one import only.
• Continuous entry bonds, which can be used to cover all imports made for one year from the date that the bond is issued. One continuous entry bond can be used by multiple different customs brokers if you use two or more brokers for your imports.

How do you get a customs bond?

Customs bonds can be purchased from surety companies that are licensed by the United States government. Unicargo can arrange the purchase of a single-entry bond or continuous entry bond on your behalf, at a very competitive rate.

We can also take care of the annual renewal for your continuous entry bond too if required, and send out a reminder notice to let you know when your renewal date is approaching.

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Customs bonds come in two different forms – single-entry bonds and continuous entry bonds respectively. Knowing the difference between the two will help you to decide which type of bond you need.

Single-entry bonds

Single-entry bonds can be used to cover one import or shipment only. If you are planning a one-off shipment or only intend to make one shipment within any given year, this is the type of bond you will need to cover it.

Continuous entry bonds

Continuous entry bonds cover every shipment you make within a year of the bond’s issue date, so that you don’t have to get a new single-entry bond each time you import another shipment.

Continuous entry bonds are the best choice if you intend to make several shipments to the USA inside of one year, or if you will be working with more than one import broker. In these situations, choosing a continuous entry bond will be more economical than buying individual single-entry bonds for each shipment, and it will also cut down on the new paperwork you need to arrange each time too.

If you’re not quite sure whether a single-entry bond or a continuous entry bond will best suit your current plans and future needs, we’ll be happy to discuss your requirements and share our advice and know-how to help you to decide.

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What is an HTS code?

HTS codes (Harmonized Tariff Schedule codes) are used by the US Customs Authority and all of the other members of the WCO or World Customs Organization as part of the Harmonized Commodity Description and Coding System. HTS codes classify different types of goods and outline their duty fees.

HTS codes used for imports to the USA are ten digits long, and the codes themselves are chosen and managed by the United States International Trade Commission.

Where can you find the HTS code for your goods?

The supplier or originator of your goods may be able to supply the HTS code you need, but this is not always the case – particularly if you work with Chinese suppliers, who often provide the Chinese version of HTS codes instead.

The first six digits of HTS codes are universal – but you may need to work out for yourself the final four digits of your finished HTS code for US imports before you can calculate the duty fee payable. You can do this by searching for the type of goods you intend to import using the United States International Trade Commission’s HTS search tool.

Completing your calculation

When you have found the right HTS code for your goods, the search tool we linked to above will tell you the rate of duty payable on goods of that type. The duty fee is usually expressed as a percentage of the value of the goods themselves – but this is not the case for all types of goods.

Some products are assigned a flat duty fee per kilogram of their weight, such as for imports of goods like vegetables or seeds.

When you know the rate of duty for your goods, you can estimate the total customs duties that will be payable for your shipment.

To calculate the duty fee for your shipment, you need to know:

• The rate of duty for the goods as determined by their HTS code.
• The total value (or weight, if relevant) of the goods you are shipping.

To calculate the estimated duty fee for a shipment where the fee is determined by percentage value, simply multiply the total value of the goods by the percentage that applies to their HTS code, and then divide this figure by 100.

For example: You wish to import an order of chopsticks with a value of $10,000. You find that the duty fee determined by the HTS code is 3.2%.

10,000 x 3.2 = 32,000.

32,000 ÷ 100 = 320.

So in this instance, the duty fee for your shipment would be $320.

To calculate the estimated duty fee for a shipment where the fee is charged as a flat rate per kilogram, you just need to multiply the total weight of your goods in kilograms by the flat rate duty fee per kilogram to get your total.

For example: You wish to import 100kg of cotton seed. You find that the duty fee determined by the HTS code is 47 cents per kilogram.

100 x .47 = 47.

So in this case, the duty fee for your shipment would be $47.

If you need any help with finding the right HTS code for your shipment or with working out the duty fee you will have to pay, contact us and we’ll be happy to help.

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