The additional measures, outlined by Scottish Enterprise Minister Henry McLeish, include a plan to appoint four "textile champions", from people working within the industry.

Henry McLeish: Looking to help the textile trade

They are Belinda Robertson, Michelle Mone, James Sugden and Jim Thomson.

Their task will be to promote products and companies both at home and abroad.

Mr McLeish said: "We fully acknowledge the setbacks which the industry has experienced in recent years and are well aware of continuing pressure from foreign competitors.

"I believe this package provides the foundations for the textile industry to fight back and safeguard the futures of the thousands which it still employs."

The new measures announced include:

• The establishment of a Scottish Textile Forum, which will bring together industry representatives, trade unions, training organisations, the Enterprise Network, Scottish Trade International, Scottish Retail Consortium, Scottish Consumer Council and Heriot-Watt University

• Generic and/or ethical labelling initiatives will be piloted with the aim of emulating the success of the "Cashmere Made in Scotland" campaign

• Exporters will be offered help under the Export Development Strategy for Scotland. The strategy is currently being reviewed but the executive says the textile sector will form a key strand

• Relevant consultancy work will be commissioned to help shape advice to the sector. Feedback will be used to identify new ways the executive can offer further help

• The Scottish Enterprise Network will reorganise its support for the industry and Scottish Enterprise Borders will take responsibility for leading and co-ordinating the support offered.

• Financial support will be offered for retraining in the wake of redundancies. An estimated �1.8m will be spent on retraining for workers affected by the closures at DAKS Simpson and Bairdwear

• Textile companies, particularly those in the Borders, will become eligible for financial support under the redrawn assisted areas map of Scotland

An estimated 70,000 jobs have been lost in textiles across the UK since 1997 with companies under pressure from the strong pound and the need to look to source more goods abroad to cut costs.

Some 30,000 people are employed in textiles in Scotland.