A cosmetics firm has been named an example of excellence for its export drive to Mexico.

KU Cosmetics. of Hastings, was pinpointed by the Department of Trade and Industry (DTI) as a business with a thriving exports future.

It is a small company but its directors thought big by choosing Mexico as its worldwide launch pad for a new range of skincare products.

It unveiled the collection at the British Amb-assador's residence in Mexico City.

The range, which will be sold through spas, salons, cosmetics shops and up-market stores, comprises mud masks, body balms, cellulite gel, liquid foot talc and exfoliating souffles.

It is based on natural essential oils and plant extracts said to improve appearance and provide aromatherapy.

KU has a staff of 17 and an annual turnover of £750,000.

Trade Partners, the Government-backed organisation that helps firms find markets and partners overseas, said the toiletries and cosmetics manufacturer could be forgiven for having thought it was too small a company to consider launching exclusively in Mexico without having market-tested the range in the UK first.

A spokesman said: "There were many good reasons why Mexico was, in fact, the ideal place for the launch.

"KU Cosmetics representatives had been on several visits to Mexico to assess the potential for its products and they found there was a gap in the Mexican market between high-end, luxury cosmetics and lower-end basic toiletries.

"The company decided to manufacture a new range in the UK that it would market in Mexico using exporter, Bourn Trading, which already had dealings with a sister company, contract manufacturer IT&C."

KU co-director George Payne said: "There was nobody catering for the middle range in the Mexican market. The UK and European Union area had reached saturation point, so we decided there and then to see if we could fill the gap.

"We were helped with the launch by Sussex Enterprise, which assisted with paperwork and contacts and helped us find a translation agency for Spanish packaging and promotional leaflets.

"Trade Partners UK also provided invaluable support.

"We're confident we picked the right place for the products' international launch and we are all optimistic about the prospects for the range.

"We have opened an office in Mexico City, employing Mexican and British staff, who will handle orders, sales, marketing and advertising.

"We have a number of advantages over potential competitors. British toiletries and cosmetics are very highly regarded in Mexico but we have already tested the market and we have a distribution network in place.

"With the introduction of the EU-Mexico Free Trade Agreement in July last year, tariffs on our products have been reduced dramatically, which allows us to price them competitively."

Fellow director Brian Murdoch said: "We plan to launch the products in Spain and countries in South America. We expect to achieve sales of more than £200,000 in the first year of operations in Mexico, pushing our annual turnover to almost £1 million."

More than 100 firms in Sussex already regularly export to Mexico, which is the world's tenth largest economy.