The main uses of index numbers are given below:

• Index numbers are used in the fields of commerce, meteorology, labour, industrial, etc.
• The index numbers measure fluctuations during intervals of time, group differences of geographical position of degree etc.
• They are used to compare the total variations in the prices of different commodities in which the unit of measurements differs with time and price etc.
• They measure the purchasing power of money.
• They are helpful in forecasting the future economic trends.
• They are used in studying difference between the comparable categories of animals, persons or items.
• Index numbers of industrial production are used to measure the changes in the level of industrial production in the country.
• Index numbers of import prices and export prices are used to measure the changes in the trade of a country.
• The index numbers are used to measure seasonal variations and cyclical variations in a time series.