Correct Option
The correct option is (c) 1 and 3 only.
Explanation
Economic activities are broadly classified into primary, secondary, and tertiary sectors. Manufacturing falls under secondary activities. It is defined as the process of transforming raw materials into finished goods, thereby adding value and utility to the product.
Statement-wise Analysis
- Statement 1 is Correct: Manufacturing is classified as a secondary activity. Primary activities involve the extraction of natural resources (e.g., mining, agriculture), while secondary activities involve the processing of these resources into usable products.
- Statement 2 is Incorrect: Manufacturing does not involve mere extraction; extraction is a primary activity. Instead, manufacturing involves the transformation of raw materials into finished goods. Crucially, this process adds value to the raw material (e.g., cotton becomes cloth, iron ore becomes steel).
- Statement 3 is Correct: The conversion of pulp into paper is a classic example of a manufacturing process. In the context of industrial value chains, this transformation represents a stage where a semi-finished or raw material (pulp) is processed into a finished product (paper) with higher utility and value.
Key Takeaway
Manufacturing is strictly a secondary activity characterized by value addition and the transformation of raw materials, distinct from primary activities which focus on extraction.