Orkney based jeweller, Ortak plans to extend and diversify its product range in an effort to expand into the wider UK market.

Ortak was established in Orkney in the late 1960s by managing director, Alistair Gray's father, and is now the largest designer and manufacturer of gold and silver jewellery in Scotland.

Alistair Gray said: "As with most other jewellery manufacturers, we have seen increased competition in recent years from foreign imports.  To compete effectively we have to enhance our product range.

"We have to reposition ourselves as a fashion led designer of contemporary jewellery, selling and marketing our products to the wider UK market.  The focus will be on developing the English market while retaining our quality and commitment to our traditional customer base in Scotland and North America."

Ortak currently employs 149 full time equivalent staff - with approximately 74 of these jobs based in Orkney.  The company has an Orkney based factory, incorporating a visitor centre and shop, and a chain of 11 Ortak branded retail outlets across the UK.

The total expansion project is worth almost £1.4 million, with Orkney Enterprise providing £400,000.  The local enterprise company's commitment includes buying £300,000 of shares in the company, as well as providing a development grant.

Alistair Gray said: "We are delighted to have received this investment from Orkney Enterprise which will help secure the future of the business and sustain its growth over the coming years.  It has allowed us to take on new staff, helping us build a highly motivated and professional sales team to place our designer jewellery in new markets."

Ken Grant, chief executive of Orkney Enterprise, said: "Ortak is a major manufacturing company in Orkney, whose quality products add to the good overall impression people have of Orkney and its produce.  Orkney Enterprise is keen to encourage innovation, support the development of new products and through this significant investment, help the company become even more competitive in attacking new markets."

Ortak was awarded official jewellery supplier to the UK TV BAFTA's awards in April 2004, and has recently been asked to be the official jewellery sponsors of the Scottish BAFTAs in November this year.