In accordance with the provision of Micro,
Small & Medium Enterprises Development (MSMED) Act, 2006 the Micro,
Small and Medium Enterprises (MSME) are classified in two
Classes:
(a) Manufacturing Enterprises- The enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the industries (Development and regulation) Act, 1951) or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use. The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery.
(b) Service Enterprises: The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
The limit for investment in plant and machinery / equipment for manufacturing
/ service enterprises, as notified, vide
S.O. 1642(E) dtd.29-09-2006 are as under:(a) Manufacturing Enterprises- The enterprises engaged in the manufacture or production of goods pertaining to any industry specified in the first schedule to the industries (Development and regulation) Act, 1951) or employing plant and machinery in the process of value addition to the final product having a distinct name or character or use. The Manufacturing Enterprise are defined in terms of investment in Plant & Machinery.
(b) Service Enterprises: The enterprises engaged in providing or rendering of services and are defined in terms of investment in equipment.
Manufacturing Sector |
|
| Enterprises | Investment in plant & machinery |
| Micro Enterprises | Does not exceed INR 2,500,000.00 |
| Small Enterprises | More than INR 2,500,000.00 but does not exceed INR 50,000,000.00 |
| Medium Enterprises | More than INR 50,000,000.00 but does not exceed INR 100,000,000.00 |
Service Sector |
|
| Enterprises | Investment in equipments |
| Micro Enterprises | Does not exceed INR 1,000,000.00 |
| Small Enterprises | More than INR 1,000,000.00 but does not exceed INR 20,000,000.00 |
| Medium Enterprises | More than INR 20,00,000.00 but does not exceed INR 50,000,000.00 |