Subbu,
It looks like you've defined a relationship between IOU/ml and L (1000 IOU/ML <> 1 Liter) when what you really want is a relationship between IOU and L, or in this case, to get the numbers in the proper range, I suggest using Kilo IOU and Liter. Let me first say that this conversation gets a little confusing because the 3 character commercial UOM you have selected - "IOU" - actually represents "IOU per ml", so in my reply here I am going to describe things in terms of the technical name so you will know when I'm talking about activity units (IOU) versus when I'm talking about activity unit density (IOU per volume).
So here is what I suggest:
1. Create a new UOM to represent "Kilo IOU" (something like "KIU")
2. Create a proportion UOM to represent "Kilo IOU per Liter" (something like "KUL") [When you have done this and saved the planned value of 1000, SAP will automatically create the Alt UOM "1000 Kilo IOU <> 1 Liter"]
3. Create a batch characteristic to report the value for "Kilo IOU per Liter" (and it must use the UOM you created for "Kilo IOU per Liter") [Note that the value for "Kilo IOU per Liter" is mathematically equivalent to the value for "IOU per milliliter" so this shouldn't be too confusing for your business.]
That's basically it. If you have question about how to set all of this up, here is a good article that I found very helpful in explaining how to set up batch specific UOMs: http://www.sdn.sap.com/irj/scn/go/portal/prtroot/docs/library/uuid/a021e088-3428-2d10-799d-a69349248f10?quicklink=index&overridelayout=true
I hope this helps you.
Dave