Q. With reference to the sectors of the Indian economy, consider the following pairs:

How many of the Pairs given above are correctly matched?

• Only one
• Only two
• Only three
• All four

Answer: (c) Only three

• The Indian economy is broadly divided into three sectors: primary, secondary, and tertiary.
• The primary sector involves agriculture, mining, and fishing; the secondary sector includes manufacturing; and the tertiary sector encompasses services like IT, banking, and healthcare.
  • Storage of agricultural produce falls under the tertiary sector because it involves services related to storage, logistics, and distribution.
  • A dairy farm is part of the primary sector, which includes activities related to agriculture and animal husbandry.
  • Mineral exploration is part of the tertiary sector as it involves the exploration of natural resources.
  • Weaving cloth is part of the secondary sector, which involves manufacturing and industrial activities.

Primary Sector:

• In Primary sector of economy, activities are undertaken by directly using natural resources. Agriculture, Mining, Fishing, Forestry, Dairy etc. are some examples of this sector.
• It is called so because it forms the base for all other products. Since most of the natural products we get are from agriculture, dairy, forestry, fishing, it is also called Agriculture and allied sector.
• People engaged in primary activities are called red-collar workers due to the outdoor nature of their work.

Secondary Sector:

• It includes the industries where finished products are made from natural materials produced in the primary sector. Industrial production, cotton fabric, sugar cane production etc. activities comes under this sector.
• Hence its the part of a country’s economy that manufactures goods, rather than producing raw materials
• Since this sector is associated with different kinds of industries, it is also called industrial sector.
• People engaged in secondary activities are called blue collar workers.
• Examples of manufacturing sector:
  • Small workshops producing pots, artisan production.
  • Mills producing textiles,
  • Factories producing steel, chemicals, plastic, car.
  • Food production such as brewing plants, and food processing.
  • Oil refinery.

Tertiary Sector/Service Sector:

• This sector’s activities help in the development of the primary and secondary sectors. By itself, economic activities in tertiary sector do not produce a goods but they are an aid or a support for the production.
• Goods transported by trucks or trains, banking, insurance, finance etc. come under the sector. It provides the value addition to a product same as secondary sector.
• This sector jobs are called white collar jobs.