Correct Option
Statement 1 is correct. The Indus Valley Civilization is generally characterized as a predominantly secular civilization. While religious elements, including the Great Bath, fire altars, mother goddess figurines, and seals depicting a 'proto-Shiva' figure, were present, archaeological evidence suggests they did not exert an overarching dominance over the civic and economic life. The emphasis on sophisticated urban planning, extensive trade networks, and standardized weights and measures points towards a practical and administrative governance structure rather than a theocratic one.
Statement 2 is correct. Archaeological discoveries confirm the cultivation and use of cotton by the people of the Indus Valley Civilization for textile manufacturing. Evidence from sites such as Mohenjodaro includes fragments of cotton cloth adhering to silver vases and copper objects, indicating that the IVC was among the earliest civilizations to produce cotton textiles. This demonstrates advanced agricultural practices and weaving technology during that period.
Incorrect Options
Options (A), (B), and (D) are incorrect because both statement 1 and statement 2 are factually accurate regarding the Indus Valley Civilization. The civilization displayed a predominantly secular character with religious elements not dominating, and it was indeed a pioneer in the use of cotton for textiles. Therefore, selecting only one statement as correct or neither as correct is erroneous.