We have stated earlier that a general definition of SMEs using size and scale of operations within the fixed co-ordinates of national boundaries is relatively easier.At the 13th council meeting of the national council on Industry held in July, 2001 micro, Small and Medium Enterprises(MSMEs) were defined as follows:

MICRO/COTTAGE INDUSTRY

An industry with a labour size of not more than 10 workers, or total cost of not more thanN1.50million
including working capital but excluding land .

SMALL SCALE INDUSTRY

An industry with labour size of 11-100 workers or a total cost of   not more than N50 million including working capital but excluding cost of land.