Concept:
Understanding the relationship between water and clay involves studying porosity (empty spaces in a fired body) and plasticity (water suspended between particles in raw clay).
Step 1:
The assertion contains two independent technical definitions. The first sentence describes porosity (capillary absorption in fired wares). The second sentence accurately describes the mechanics of raw, plastic clay, where water acts as a lubricant between the interstitial spaces of clay platelets. Both technical statements are factually correct.
Step 2:
When raw clay is fired past the ceramic change (around $500^{\circ}C - 600^{\circ}C$), the chemical water is driven out, leaving behind a hard, permanent matrix full of microscopic holes. This bisque-fired state is indeed extremely porous. Thus, Reason R is correct.
Step 3:
Assertion A defines general physical states (capillary action and plastic clay mechanics). Reason R states that low-fired clay is porous. While they are conceptually related under the umbrella of "water and clay," firing clay to $600^{\circ}C$ (Reason R) does not cause or explain why plastic clay has water in its interstitial spaces (Assertion A).
Step 4:
Because both statements represent independent factual truths about ceramics, but lack a direct cause-and-effect relationship, Option 2 is correct.
\[
\boxed{\text{(2) Both A and R are correct but R is NOT the correct explanation of A.}}
\]