Ramadhan every year is one of the most important religious festivals in Indonesia, having a profound impact on the local society, economy, and the logistics industry. During Ramadhan, due to a large number of factories shutting down or reducing production, the logistics demand is relatively sluggish, and the port, warehousing, and transportation industries are also affected to varying degrees. However, with the end of the Eid al-Fitr holiday, Indonesian enterprises have successively resumed operations, and the industrial logistics demand has rebounded rapidly, bringing a new round of growth opportunities to the market.

During Ramadhan, many factories shut down or reduce production, resulting in a decrease in the procurement of raw materials. After the holiday, the resumption of factory operations drives the accelerated recovery of production, and the import demand for raw materials, semi-finished products, mechanical equipment, etc. rises rapidly.

For example: • Manufacturing industry: Industries such as electronics, plastic products, textiles, and clothing resume production and are in urgent need of replenishing upstream raw materials. • Construction industry: Large-scale infrastructure projects are restarted, and the logistics demand for cement, steel, mechanical equipment, etc. surges. • Food processing industry: The supply chain gradually recovers, and the import demand for food raw materials, packaging materials, and production equipment rises.

After Ramadhan, a large number of backlogged goods need to go through customs clearance and transportation, leading to an increase in port operation volume, a shortage of warehousing space, and a surge in the demand for trunk line transportation. Common changes include: • Increased port congestion: Especially at Tanjung Priok Port in Jakarta and Tanjung Perak Port in Surabaya, it is quite common for imported and exported goods to queue up for customs clearance. • Increased warehouse utilization rate: Due to a significant increase in imports, the demand for warehouses has risen significantly, and it may be difficult to find a warehouse in some popular areas. • Increased demand for truck transportation: After factories resume production, the freight demand surges sharply, which may lead to an increase in freight rates in the short term.

Many enterprises reduce the inventory levels of raw materials and goods before Ramadhan in order to lower inventory costs. But after Ramadhan, in order to ensure normal production, enterprises need to replenish their inventories quickly, which drives a busy period in the logistics market.