IIP data Index of Industrial Production IIP is an abstract number, the magnitude of which represents the status of production in the industrial sector for a given period of time as compared to a reference period of time It is a statistical device which enables us to arrive at a single representative figure to measure the general level of industrial activity in the economy Strictly speaking the IIP is a short term indicator measuring industrial growth till the actual result of detailed industrial surveys become available This indicator is of paramount importance and is being used by various organisations including Ministries Departments of Government of India, Industrial Associations, Research Institutes and Academicians