Industry is a basic category of business activity. Firms in the same industryare on the same side of the market, produce goods which are close substitutesand compete for the same customers. For statistical purposes, industries arecategorized following a uniform classification code such as Standard IndustrialClassification (SIC). Changes in the volume of the physical output of thenation’s factories, mines and utilities are measured by the index of industrproduction. The figure is calculated as a weighted aggregate of goods andreported in headlines as a percent change from previous months. It is oftenadjusted by season or weather conditions and thus volatile. However, it is usedas a leading indicator and helps in forecasting GDP changes. Rising industrialproduction figures signify increasing economic growth and can positivelyinfluence the sentiment towards local currency.The calculation of the monthlyproduction indices is based on the value of products and articles manufactured,after the effect of price changes has been eliminated through deflation by usingappropriate sub-indices of the Production Price Index (PPI). The value of themanufactured products is obtained from a monthly sample survey of manufacturingestablishments in the private and public sectors.