Jakarta (ANTARA) - The close timing of the Lunar New Year and the Muslim fasting month of Ramadan could help lift public consumption of micro, small and medium enterprise (MSME) products, an Indonesian economic think tank said, as businesses look for momentum amid uneven household purchasing power and global economic uncertainty.
The Center of Economic and Law Studies (CELIOS) said the overlap of major religious and cultural holidays often creates multiple consumption cycles, providing MSMEs with opportunities to diversify products and target niche markets. These periods typically drive higher spending on food, clothing and seasonal services.
“There needs to be research on the direction of consumption trends, for example what clothing trends will look like for Eid al-Fitr 2026,” CELIOS Director Bhima Yudhistira Adhinegara said Monday, stressing the importance of anticipating demand rather than relying on broad assumptions.
Adhinegara said religious and cultural celebrations tend to encourage demand for segmented MSME products. During the Lunar New Year, consumer interest often centers on themed snack packages, promotional gift sets and accessories linked to holiday traditions and family gatherings.
He added that the Lunar New Year season usually pushes up demand for fresh fruits such as mandarin oranges, as well as festive cakes, pastries and specialty drinks commonly served during celebrations.
Ramadan, meanwhile, presents its own consumption patterns. MSMEs can increase sales by offering products closely associated with the fasting month, including worship equipment, frozen and ready-to-eat foods, modest clothing and promotions tied to transportation and hospitality services.
Looking ahead to the Eid al-Fitr holiday, Adhinegara said businesses could also tap into demand for complementary services, such as pet boarding for families traveling home and festive gift hampers exchanged during the holiday.
Local products still have room to grow, he said, but MSMEs should focus on specific consumer segments instead of targeting the mass market.
Products linked to daily necessities tend to perform better during peak travel and holiday seasons.
“Local products still have growth potential, but they need to be highly localized and closely connected to essential needs such as food, clothing and transportation during the homecoming period,” he said.
To navigate weak purchasing power and ongoing global uncertainty, Adhinegara urged MSMEs to collaborate, including by organizing Ramadan food and supplies bazaars near mosques.
He also encouraged wider use of digital platforms and social media, while carefully managing raw material supplies to match projected demand and avoid losses.
