From Statistics Explained
The production account records the activity of producing goods and services as defined within national accounts; it is drawn up for institutional sectors and for industries. Its resources include gross output and taxes on products less subsidies on products and its uses include intermediate consumption.
The production account is used to obtain one of the most important balancing items in the system – gross value added, or the value generated by any unit engaged in a production activity – and gross domestic product (GDP). Value added is economically significant for both the institutional sectors and the industries.