There are three sectors in the economy. These sectors are divided on the basis of activities performed under it. These sectors are named as- primary sector, secondary sector and tertiaiy sector.. Primary sector is a sector in which natural resources are utilized to produce goods. The activities performed under it are called as primary activities. It includes activities like-cultivation, mining, animal husbandry, dairy, fishing etc. It is also called as agricultural and allied sector.

Secondary sector is a sector where products of primary sector are used as raw material and are converted into different forms by the means of manufacturing. For example-textile industry, here cotton is used as a raw material and is converted into fabric. Similarly we have iron and steel industry where iron ore is used as raw material and converted into iron/steel rods and sheets. It is also called as industrial sector as it includes various types of industries. Tertiary sector refers to the sector where services are produced. For example – telecom services, postal services, banking services, education services etc. It includes services which do not directly help in production. It is also called as service sector.