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Butterfly Elite, suppliers of stainless steel housewares, is in discussions whether to close its UK subsidiary in Eastbourne.
A spokesperson for the company said servicing independents in the UK was not "feasible" after the combined effect of steel price rises and larger production runs put pressure on overheads.
Butterfly Elite started importing stainless steel housewares from India in 1992. It had immediate success supplying independent cookshops, department stores, variety stores and wholesalers.
It currently offers a mid-market product range to high-end retailers and general hardware stores.