Physiology is the way we understand the biology of an organism; the functioning of different cells, tissues, organs and other anatomical structures. Physiology is important because it is the foundation upon which we build our knowledge of what "life" is, how to treat disease, and how to cope with stresses imposed upon our bodies by different environments.
Biochemistry is the study of living organisms at the molecular level; the building blocks from which they are made and the chemical processes that determine life itself. The importance of biochemistry is immense and indispensable in our daily life activities. It is used in clinical diagnosis, manufacture of various biological products, treatment of diseases, in nutrition, agriculture, etc. The study of biochemistry helps one understand the actual chemical concepts of biology.