The government is set to launch a world wide publicity drive to promote Scotland once the events in America have eased.

Scotland secretary Helen Liddell has revealed plans for a "tartan target" to reach the 40 million people in America who claim Scottish ancestry, as well as ex-patriots around the world, to promote business and leisure.

Speaking on the first day of Labour's annual conference in Brighton, Liddell said she wanted to invite them to become "ambassadors for this new and exciting Scotland".

Events in New York have drawn attention to the fact that many Americans claim a Celtic history and ministers hope to follow the example of the Irish Republic. Ministers pointed enviously to the way Ireland has "exploited its ancestry" in the US to build business and tourism links.

"Selling Scotland has always been done in an ad hoc way; it's never been brought together until now," Liddell later said in a briefing to journalists.

She expressed frustration that many people have little idea of the impact of Scottish industry.

"At the Milan fashion shows no-one realised that the bulk of the high quality fabrics come from Scotland. No-one realises the bulk of computers on their desks are made in Scotland," she said.

In her speech to delegates, the minister said devolution in Scotland had now completed "the unfinished business" of former party leader John Smith. Liddell claimed Holyrood has become a parliament that is "healthy and vibrant" and claimed the Blair administration would be remembered as "one of the great reforming governments".

Liddell fired a warning shot to the SNP and others who have their sights ultimately set on full Scottish independence saying Scotland's ambitions could only be achieved through a dual partnership.

"Labour at Westminster creating the climate and the resources for prosperity and a fairer society, Labour at Holyrood investing in services and striving to deliver social justice."

In her media briefing, which was both low-key and relaxed, she admitted Labour had failed to persuade the unions over its plans for public services. Taking the official Downing Street line, she said the problem was a presentational issue rather than an ideological one.

"We have made mistakes on how the PPP was presented there's no doubt about that. There's also no doubt that there has to be world-class public services. No-one's saying private sector good, public sector bad - it has to be what works. My constituents are now benefiting from two new PPP-built hospitals. People don't go in and say 'excuse me who built this?'" she said.

In her speech, Liddell claimed there was still more work to do to widen democracy in the regions but she told ePolitix.com this did not include widening Holyrood's tax raising powers.

"The Scottish people voted in a referendum on what parliament they wanted and they voted for a devolved assembly which at the moment can have the power to raise taxes up to three per cent. Our party has made it clear that we would not use them," she said.