Indonesian Political, Business & Finance News

Indonesia's Cigarette Production Surges in February, Highest in a Decade

| Source: CNBC Translated from Indonesian | Economy
Indonesia's Cigarette Production Surges in February, Highest in a Decade
Image: CNBC

Indonesia’s cigarette production surged in February 2026. Data from the Directorate General of Customs and Excise under the Ministry of Finance indicates that cigarette production in February 2026 reached 28.3 billion sticks. This figure rose 4.8% compared to January 2026 (month-to-month) and jumped 24.12% compared to February 2025 (year-on-year). Tracing back from 2016-2026, February 2026 cigarette production is the highest at least since 2017, or over 10 years. Overall, cigarette production for January-February 2026 reached 51.1 billion sticks, surging 15% compared to the same period last year. January-February 2026 production also marks the highest at least since 2017, or within a decade. The production surge in February cannot be separated from its historical context. The shift in Ramadan and Eid timings is the main cause. Eid al-Fitr 2026 falls on 21 March 2026. Typically, cigarette producers ramp up production a month before Eid or approaching the fast to anticipate rising demand and the long holiday. The fasting month began on 19 February 2026, and the long holiday will start on 17 March 2026.

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