A Yarm publishing company, set up by a former ICI marketing man, has responded to international demand by producing a second edition of a trade guide to one of the world's oldest businesses - flag making.

ATI Publications' book, Flag Industry Focus, features details on the global flag and banner industry, which employs more than 50,000 people and includes many family firms.

Written by ATI's managing director, Mr Alan Thompson, it highlights 2,000 individual flag manufacturers and another 500 firms supplying raw materials and equipment across 50 countries.

Mr Thompson, who comes from York, has lived in Yarm for a number of years.

After leaving his marketing job at ICI Wilton in 1984, he worked with Durham university and then spent some years with a Tyneside flag manufacturer.

He also launched an export consultants' firm and now works from his office on Yarm High Street.

Speaking this week, he said he published the first guide in 1999 after being astounded at the lack of information on the flag business. Following its success, he hoped to exploit the niche market further with the new edition, plus a web site, a specifications book and a quarterly magazine.

"When you think that flag making can be traced back 2,500 years to when the Persians first carried standards into battle, it is amazing that, until now, the industry has been without its own trade publication," he said.

"This may be because there are so many small-scale manufacturers. However, the industry is significant. It generates global sales of £400m a year and supports 30 highly automated printing plants in Europe - each one is capable of printing 10,000 flags per day.

"As a result, we feel there is an enormous potential to exploit a real gap in the market and create good job opportunities in the process.

"Copies of our book have gone as far afield as the United States, Australia. Hong Kong and South Africa. Export sales already account for 90pc of our turnover and this is a trend which we expect to continue and increase."

His optimism is shared by business investment firm UK Steel Enterprise, based at Kirkleatham business park.

Its regional executive, Mr Simon Hamilton, said he was impressed with the expected revenue from the new portfolio of publications, including the forthcoming quarterly magazine.

"Plans are already in place to produce this magazine in five European languages and launch it with a world wide marketing drive," said Mr Hamilton.

"With a potential readership of more than 10,000 manufacturers, traders and sellers, ATI has identified a unique opportunity to build a highly successful international business."

With the investment firm's support, Mr Thompson is now gearing up to take on a new team to spearhead his marketing drive. The company's web site will be launched soon and its magazine will be published in French, German and Spanish.

"With more than a decade in this business, its great finally to get the chance to fly the flag for the whole industry and put the North-East at the hear of what will be a world wide operation," he emphasised