THE biggest producer of tablemats in the world has gone into administration with the loss of 69 jobs.

Pimpernel International, in Consett, County Durham, recently moved production from its UK site to China and cashflow problems as a result of the move led to administrators from Deloitte being appointed this week.

On Thursday, 69 staff, including about 35 in the company's Consett offices were told they were being made redundant. The other 34 work in sales and in shops across the country selling Pimpernel products.

Another 31 staff remain in the Consett head office.

The company produces tableware and place mats under the Pimpernel and Cloverleaf brands, as well as own-label products for companies including Marks & Spencer. Its products are exported all over the world.

It has a subsidiary in the US and recently completed a manufacturing facility in Thailand as part of a joint venture with a local company - but its overseas companies are not involved in insolvency procedures.

Joint administrator Ian Brown, of Deloitte, said: "Pimpernel has a strong customer base and good products.

"We continue to trade the company with the support of the remaining staff and are hopeful that we will be able to conclude a sale of the business as a going concern."

Andrew Croft, assistant director of the reorganisation services team at Deloitte, said: "We have had strong interest in Pimpernel and we hope to keep the remaining jobs in the North-East.

"The name of Pimpernel is perceived as a quality product by all its customers, and we are hopeful we can sell the business as a whole, and that it will still be based in Consett."

Pimpernel was the subject of a management buyout last year after being placed in receivership. It subsequently announced the end of production in Consett with the loss of 50 jobs and moved manufacturing to China as an interim measure while it set up the facility in Thailand, that was due to start production next month.

At the time, owner Alastair Ritchie, who is also chairman of the Edinburgh Crystal Glass Company, said Consett could no longer compete against lower wages in China.