This is the second in a series of three papers in which we present an end-to-end simulation from the MICE collaboration, the MICE Grand Challenge (MICE-GC) run. The N-body contains about 70 billion dark-matter particles in a (3 h −1 Gpc)3 comoving volume spanning five orders of magnitude in dynamical range. Here, we introduce the halo and galaxy catalogues built upon it, both in a wide (5000 deg2) and deep (z < 1.4) lightcone and in several comoving snapshots. Haloes were resolved down to few 1011 h −1 M⊙. This allowed us to model galaxies down to absolute magnitude M r  < −18.9. We used a new hybrid halo occupation distribution and abundance matching technique for galaxy assignment. The catalogue includes the spectral energy distributions of all galaxies. We describe a variety of halo and galaxy clustering applications. We discuss how mass resolution effects can bias the large-scale two-pt clustering amplitude of poorly resolved haloes at the ≲5 per cent level, and their three-pt correlation function. We find a characteristic scale-dependent bias of ≲6 per cent across the BAO feature for haloes well above M ⋆ ∼ 1012 h −1 M⊙ and for luminous red galaxy like galaxies. For haloes well below M ⋆ the scale dependence at 100 h −1 Mpc is ≲2 per cent. Lastly, we discuss the validity of the large-scale Kaiser limit across redshift and departures from it towards non-linear scales. We make the current version of the lightcone halo and galaxy catalogue (MICECATv1.0) publicly available through a dedicated web portal to help develop and exploit the new generation of astronomical surveys.